Marqeta, a card issuing infrastructure provider, is making its first acquisition after announcing an agreement to acquire Power Finance, Inc., a credit card program management platform, for USD 275 million. The deal is subject to customary closing conditions and is set to close in Q1 2023.  

The purchase price consists of USD 223 million, of which a third is payable over a two-year period, while the remaining USD 52 million is subject to a milestone expected to be achieved within 12 months. 

Through the acquisition, Marqeta plans to improve its credit products offering for its customers. The company will combine its rewards innovations with that of Power’s and leverage the latter’s data science toolbox and solutions to embed experience within mobile and web apps. 

Following the acquisition, Power’s CEO, Randy Fernando, will lead the product management of Marqeta’s credit card platform, while most of Power’s team will join Marqeta.