Fifth Third Bancorp in Cincinnati has agreed
to buy Provide, a digital platform for health care practices.
The $207 billion-asset Fifth Third said the
acquisition will add capabilities to address complex lending and banking needs
for retail health care providers. Fifth Third did not disclose the price it
will pay.
“Over the last decade, Fifth Third’s health care
team has expanded its presence and expertise to become one of the top health care
banking platforms for middle-market and corporate clients,” Greg Carmichael,
Fifth Third’s chairman and CEO, said in a Tuesday press release.
“Together, we can deliver a client experience
that enables health care providers to focus on what they do best — providing
the care their patients need while we make their banking experience convenient
and efficient,” Carmichael added.
Fifth Third said the acquisition will add $6 million in revenue this year, along with $14 million in expenses as it invests in the platform.
Fifth Third invested in Provide in 2018, and it
started funding loans through the fintech’s platform last year. Provide will keep
its brand and operate as an independent business line.
Provide, founded in 2013, has originated more
than $1 billion of loans.
Fifth Third said it holds about $400 million of Provide loans and that it will hold all of the company's future originations.
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