Flexiti Financial has acquired $250m worth Canadian private label credit card portfolio from TD Financing Services (TDFS).
The deal adds over one million new credit card customers and 900 new merchant locations, making Flexiti a major private label credit card issuer in the country.
Through an equity investment of more than $50m, Globalive Capital-led syndicate will acquire a controlling stake in Flexiti.
Flexiti has also received new $350m senior and mezzanine credit facilities, including $300m offered by Credit Suisse, Cayman Islands Branch.
Established in 2013, Flexiti is a Toronto-based fintech private label credit card issuer, which offers point-of-sale (POS) financing and payment technology to the customers.
Flexiti CEO and founder Peter Kalen said: “This acquisition of TDFS’ private label credit card portfolio represents an important milestone for our company, and the consumer lending space in Canada, as it instantly positions us as one of the largest consumer lenders in the country with a cardholder base of over 1 million Canadians.
“We’re thrilled to welcome our new retail partners to the Flexiti network and look forward to working closely with them to drive sales and customer loyalty through our industry-leading point-of-sale financing platform.”
Flexiti provides POS consumer financing to push sales for retailers in-store and online. The firm offers sales financing solutions on a private label credit card platform, which is quicker than traditional credit applications.
Through using firm’s application process, the customers in-store or online can apply and be approved for credit with three minutes.
Without incorporating into existing POS systems, the retail partners can provide same paperless financing solution across all retail locations and sales channels.
Globalive Capital, which made over 100 investments, invests principal capital in multiple asset classes such as private equity, real estate and venture.
The firm’s latest initiative, Globalive Technology, is engaged in the development of building blockchain and machine intelligence technologies in partnership with businesses in partnership with businesses in multiple target verticals.