Pockit, a UK-based fintech serving low-income and underserved customers, has agreed to acquire Monese, a mobile banking fintech. The acquisition terms remain undisclosed and are subject to FCA approval. Puma Growth Partners, leading Pockit’s shareholders, has committed up to £15 million in equity to support the integration and future growth of the business.
This acquisition follows news that HSBC wrote off its stake in Monese, just two years after investing $35 million. Founded in 2015, Monese primarily serves expats and immigrants who face challenges obtaining traditional bank accounts. However, it reported a £30.5 million loss for 2022 and struggled to secure funds, prompting other backers like Kinnevik to also write off their investments.
With this acquisition, Pockit aims to become the leading fintech for financially underserved and lower-middle-income consumers across the UK and Europe, serving approximately three million customers and generating nearly £30 million in annual revenue. Pockit will benefit from Monese’s regulatory infrastructure and multi-currency accounts. CEO Virraj Jatania will lead the expanded entity, with Monese’s Norris Koppel staying on temporarily to ensure a smooth transition.
Jatania emphasized that the acquisition is “transformational”, expanding Pockit’s capacity to promote financial inclusion.