03 most interesting news today
- #banking. Morningbrew
US banks are up. Trade wars trimmed the growth of commercial and industrial loans as business paused new investment. They shifted the focus to other less volatile business such as wealth management.
- #ridehailing. Quartz
Uber made some changes to its business, no more upfront pricing for non-Pool and the return of surge multiplier for long trips.
- #banking. SeekingAlpha
JP Morgan delivered the best performance among its peers, with growth in consumer cards, IB and markets.
Summary of my favorite topic: Visa acquired Plaid
Source 1: PitchBook
Source 2: Forbes
Source 3: Businesswire
Visa has made a big move, acquiring Plaid for ~$5.5B (35x revenue multiple valuation), making this the biggest M&A in FinTech of all time. The acquisition is expected to fuel the growth trajectory of Visa (the provider of network) in 2 ways: (1) Expanding customer base and (2) Making it easier to connect all the financial networks within Visa.
Buying Plaid, Visa can get access to the ballooning base of Plaid customers, which is estimated to be approximately 200M, CAGR 100% since 2015. It’s a chance to sell additional financial services to these customers.
Also, Plaid with it software technology will help Visa connect all of its global unparalleled financial technology. Plaid’s software link a a number of personal finance apps with banks and other platforms. This technology is the one Visa needs to go global with its services, to the goal of not only being a payment method, but enabling movement of fund in any settings globally
Huy Luu's business blog 