Chime to Acquire Nationally Chartered Stride Bank for $590 Million; Shares Jump

Chime, the financial technology company, announced Tuesday, Sept. 8, that it will acquire Stride Bank, a nationally chartered bank, for $590 million, bringing key banking infrastructure in-house as it seeks to expand its lending portfolio.

The following are key details of the deal:

Chime's shares, which have risen more than 28% this year, gained nearly 10% in extended trading.

The all-cash acquisition is expected to generate more than $100 million in net synergies for Chime and is projected to close during the first half of 2027.

Stride, founded in 1913 and headquartered in Enid, Oklahoma, provides consumer and commercial banking services. The bank has been a partner of Chime for over seven years.

"The acquisition of Stride Bank provides Chime with a faster and more proven path to full-stack ownership versus pursuing a de novo bank charter," Chime said in a statement.

Upon completion of the deal, Chime will manage Stride's balance sheet and intends to keep the lender's assets below $10 billion for the foreseeable future.

San Francisco-based Chime targets everyday American consumers with its banking products and has expanded its user base by attracting younger customers through mobile-first offerings.

Chime also increased its full-year revenue growth forecast, now expecting between 26% and 27%, up from its previous estimate of 25% to 26%.

Morgan Stanley is serving as financial advisor to Chime, while Piper Sandler & Co is advising Stride.