Enova International completed the acquisition of OnDeck Capital for approximately $122 million on Oct. 13. In July, Enova entered into a definitive agreement to acquire all outstanding shares of OnDeck in a cash and stock transaction that was originally valued at approximately $90 million.
“We are excited to announce the completion of the acquisition of OnDeck. The combination establishes Enova as a premier fintech lender with substantial scale and a diversified portfolio of brands and products,” David Fisher, CEO of Enova, said. “The operational integration plans and ability to recognize meaningful synergies and financial benefits of the acquisition are on track. We remain well positioned to drive long-term, profitable growth for our shareholders while addressing the needs of consumers and small businesses whose need for access to credit is even more critical in the wake of the COVID pandemic and current economic environment.”
As previously reported, Enova anticipates that the transaction will result in approximately $50 million in annual cost synergies and approximately $15 million in run-rate net revenue synergies to be fully phased-in by year-end 2022. The transaction is expected to be accretive in the first year post-closing and is expected to generate earnings per share accretion of more than 40% when synergies are fully realized.