The $369 million transaction will combine Enova’s consumer and small business online lending capabilities with Grasshopper’s digital banking infrastructure, the companies said in a Thursday (Dec. 11) press release.
Subject to Grasshopper shareholder approval, regulatory approvals and other customary closing conditions, the transaction is expected to close during the second half of 2026, according to the release.
“Acquiring and partnering with Grasshopper creates a powerful digital bank that positions us to offer a more comprehensive suite of financial solutions across more states to empower consumers and small businesses with the products they need to succeed,” Enova Chairman and CEO David Fisher said in the release.
After the closing of the transaction, Enova will be a newly formed bank holding company, while Grasshopper Bank will be its bank subsidiary, according to the release.
Mike Butler, who is currently CEO of Grasshopper, will become president of Grasshopper Bank. Butler will report to Steve Cunningham, who will become CEO of Grasshopper Bank, the release said.
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Cunningham, who is currently chief financial officer at Enova, will become CEO of Enova effective Jan. 1, 2026, in a move that was announced in July.
Butler said in the release: “This combination of enhanced digital lending and banking will enable us to serve an even broader set of customers while expanding and strengthening the product offerings for our current clients.”
Enova reported in October that its third quarter loan originations were up 22% year on year to about $2 billion, and its revenue increased 16% on a consolidated basis to $803 million.
Fisher told analysts during an Oct. 23 earnings call that the company’s quarter was marked by “solid loan growth and strong credit metrics across our portfolios, driven by our nimble online-only business model … supported by stable credit and significant operating leverage.”
Meanwhile, Grasshopper wrapped up a $46.6 million funding round in August, saying the funding would support its merger with Auto Club Trust and drive the ongoing expansion of its banking solutions for businesses and consumers.
