Plano-based Upbound Group, whose brands include Rent-A-Center and Acima, has agreed to buy New York City-based Brigit, a leading financial health technology company, for $460 million in cash and shares of Upbound common stock.

Upbound called the deal “a logical next step” reflecting its strategic focus on expanding its tech-driven financial solutions for consumers who are underserved by the traditional financial system.

“We’re thrilled to welcome Brigit, a company whose mission and target customer base are closely aligned with ours, into our family of brands,” Upbound CEO Mitch Fadel said in a statement. “Creating a financial solutions platform with Brigit as the backbone expands our addressable market and enables Upbound to innovate across even more product categories to improve the financial health of our customers.”

Fidel said the deal should benefit customers and shareholders.

“The ability to add new products for our customers beyond lease-to-own is an important part of our strategy and now we can offer liquidity solutions, budgeting, credit building, financial literacy and savings,” he said. “We believe this transaction will position Upbound for accelerated growth, with greater scale and a more diversified financial profile, ultimately driving long-term value for our shareholders.”

Brigit launched in 2019 to expand ‘financial inclusion’

Offering a subscription-based model, Brigit launched nationally in 2019 to expand financial inclusion and help consumers build a brighter financial future. The company consistently ranks among the most downloaded financial health apps and is a recognized leader in innovation in the industry.

Its platform is based on proprietary artificial intelligence and machine learning-powered cash flow data insights, and Brigit’s core product is its direct-to-consumer Instant Cash advance product (earned wage access or EWA), which the company said has saved its users roughly $1 billion in overdraft fees since inception.

Brigit also offers a credit builder product that helps subscribers build their credit history over time as they increase their savings, as well as financial wellness solutions and educational resources to help consumers better manage, save, and earn money. The company currently serves nearly 2 million monthly active customers, including over 1 million active paying subscribers and almost 1 million free subscribers.

The company is expected to generate revenues of approximately $215 million to $230 million in 2025 and roughly $350 million to $400 million in 2026.

How Brigit will boost Upbound’s existing brands

Upbound said that Brigit will expand its offerings of innovative and flexible financial solutions, positioning the combined company to create an industry-leading technology platform for the financially underserved that meets the consumer wherever they are on their financial journey.

Brigit’s proprietary data and sophisticated tech stack are expected to enhance Upbound’s existing brands, including Acima and Rent-A-Center, by improving risk management and fraud prevention, enabling more customer approvals while also mitigating net losses and enhancing account management. Upbound said the combined company’s data-driven insights will create a more personalized customer experience with the ability to deliver, at the right time and through the right channels, a wider range of targeted solutions for consumers.

“Brigit has helped everyday Americans build a brighter financial future through a suite of innovative financial products that leverage cutting-edge cash flow technology,” Brigit co-founder and CEO Zuben Mathews said in a statement. “This transaction is a testament to our team’s continued passion for helping the underserved and our dedication to innovation. By combining forces with Upbound, we can accelerate our impact and better serve the millions of Americans who have been historically underserved by traditional financial institutions. Together, we’re excited to widen our reach and bring financial freedom to even more people in need.”

Brigit founders Mathews and Hamel Kothari will continue to lead the Brigit team as a business segment of Upbound. Brigit will continue to operate under its existing branding and will retain its headquarters in New York City, which is expected to serve as one of Upbound’s innovation hubs, the companies said.

The acquisition is expected to close in Q1 of 2025.

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