OppFi Acquires 35% Equity Interest in Bitty Advance
Slice of Finance Team
Aug 08, 2024
Key Highlights:
- OppFi acquires 35% equity interest in Bitty Advance.
- Options for OppFi to gain majority and full ownership over time.
- Craig Hecker to continue as CEO of Bitty.
- Bitty has facilitated funding to over 29,000 small businesses.
Source (Business Wire)
Quotes
“ "We’re excited by this acquisition, as we believe Bitty provides the foundation for OppFi’s new vertical in small business financing. Bitty facilitates credit access to small businesses that are not served by traditional banks." ”
Todd Schwartz, CEO and Executive Chairman at OppFi
Our Take:
OppFi's strategic acquisition of a 35% equity interest in Bitty Advance signals a significant expansion into the small business financing sector. This move aligns with OppFi's mission to broaden credit access, leveraging Bitty's established digital platform and extensive reach among small businesses. With the potential for full ownership over time, OppFi stands to enhance its market position by integrating its data analytics and marketing expertise with Bitty's operational capabilities. This acquisition not only diversifies OppFi's product offerings but also strengthens its commitment to serving underbanked communities, promising substantial growth opportunities in a rapidly evolving financial landscape.
