Lloyds Banking Group in talks to acquire digital wallet provider Curve

and hopefully worth around $50bn to $60bn.»

One insider said this weekend that Curve was being advised by KBW, part of the investment bank Stifel, on the discussions with Lloyds.

If a mooted price range of £100m-£120m turns out to be accurate, that would represent a lower valuation than the £133m Curve raised in its Series C funding round, which concluded in 2023.

That round included backing from Britannia, IDC Ventures, Cercano Management – the venture arm of Microsoft co-founder Paul Allen’s estate – and Outward VC.

It was also reported to have raised more than £40m last year, while reducing employee numbers and suspending its US expansion.

In total, the company has raised more than £200m in equity since it was founded.

Curve has been positioned as a rival to Apple Pay in recent years, having initially launched as an app enabling consumers to combine their debit and credit cards in a single wallet.

One source close to the prospective deal said that Lloyds had identified Curve as a strategically attractive bid target as it pushes deeper into payments infrastructure under chief executive Charlie Nunn.

Lloyds is also said to believe that Curve would be a financially rational asset to own because of the fees Apple charges consumers to use its Apple Pay service.

In March, the Financial Conduct Authority and Payment Systems Regulator began working with the Competition and Markets Authority to examine the implications of the growth of digital wallets owned by Apple and Google.

Lloyds owns stakes in a number of fintechs, including the banking-as-a-service platform ThoughtMachine, but has set expanding its tech capabilities as a key strategic objective.

The group employs more than 70,000 people and operates more than 750 branches across Britain.

Curve is chaired by Lord Fink, the former Man Group chief executive who has become a prolific investor in British technology start-ups.

When he was appointed to the role in January, he said: «Working alongside Curve as an investor, I have had a ringside seat to the company’s unassailable and well-earned rise.

«Beginning as a card which combines all your cards into one, to the all-encompassing digital wallet it has evolved into, Curve offers a transformative financial management experience to its users.

«I am proud to have been part of the journey so far, and welcome the chance to support the company through its next, very significant period of growth.»

IDC Ventures, one of the investors in Curve’s Series C funding round, said at the time of its last major fundraising: «Thanks to their unique technology…they have the capability to intercept the transaction and supercharge the customer experience, with its Double Dip Rewards, [and] eliminating nasty hidden fees.

«And they do it seamlessly, without any need for the customer to change the cards they pay with.»

News of the talks between Lloyds and Curve comes days before Rachel Reeves, the chancellor, is expected to outline plans to bolster Britain’s fintech sector by endorsing a concierge service to match start-ups with investors.

Lord Fink declined to comment when contacted by Sky News on Saturday morning, while Curve did not respond to an enquiry sent by email.

Lloyds also declined to comment, while Stifel KBW could not be reached for comment.

Lloyds Banking Group in Advanced Talks to Acquire Curve for Up to £120m

Britain’s largest high street bank, Lloyds Banking Group, is currently in advanced discussions to purchase Curve, a digital wallet provider, for a price believed to be up to £120m. This potential acquisition comes at a time when there is increasing regulatory pressure on tech giants like Apple to open up their payment services to competitors. If successful, sources suggest that an announcement of the deal could be made by the end of September.

Curve, founded in 2016 by Shachar Bialick, a former Israeli special forces soldier, has quickly gained traction in the fintech industry. With a valuation estimated to be between $50bn to $60bn, Curve has positioned itself as a rival to Apple Pay, offering consumers a convenient way to combine their debit and credit cards into a single digital wallet.

Insider sources reveal that Curve is being advised by KBW, a part of investment bank Stifel, in its discussions with Lloyds. The mooted price range of £100m-£120m for the potential acquisition would represent a lower valuation than the £133m Curve raised in its Series C funding round in 2023. Despite this, Curve has managed to raise over £200m in equity since its inception, with notable backing from investors such as Britannia, IDC Ventures, Cercano Management, and Outward VC.

Lloyds’ interest in acquiring Curve stems from its strategic vision to deepen its presence in the payments infrastructure space under the leadership of CEO Charlie Nunn. With the increasing dominance of digital wallets owned by tech giants like Apple and Google, Lloyds sees Curve as a financially viable asset to own, given the fees charged by Apple for using its Apple Pay service.

The potential acquisition of Curve by Lloyds comes at a crucial time for both companies, as the UK government looks to bolster the fintech sector through initiatives like a concierge service to connect start-ups with investors. Lord Fink, Chairman of Curve and a prominent investor in British technology start-ups, has expressed his pride in the company’s growth and looks forward to supporting its continued expansion.

As discussions between Lloyds and Curve progress, industry experts anticipate a significant move that could reshape the digital payments landscape in the UK. Stay tuned for further updates on this developing story. One source familiar with the matter suggested that Curve could be valued at around $50bn to $60bn in discussions with Lloyds. The investment bank Stifel’s KBW is advising Curve on these discussions. The potential price range of £100m-£120m is lower than the £133m Curve raised in its Series C funding round in 2023, which included backing from various investors. Curve has raised over £200m in equity since its founding and has positioned itself as a rival to Apple Pay. Lloyds sees Curve as a strategically attractive bid target as it expands into payments infrastructure. The Financial Conduct Authority and Payment Systems Regulator are examining the growth of digital wallets owned by Apple and Google. Lloyds, which owns stakes in fintech companies, is focusing on expanding its tech capabilities. Curve is chaired by Lord Fink, a prolific investor in British technology start-ups. The talks between Lloyds and Curve come as the chancellor is expected to outline plans to support the fintech sector. Lord Fink, Curve, and Lloyds declined to comment on the matter.

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