American Express said Monday that it's acquiring the key assets of financial technology company Kabbage. Under the deal, American Express will take ownership of Kabbage's full suite of fintech products, along with its data platform and intellectual property. Kabbage's team will also join American Express.
Founded in 2009 as an online small business lender, Kabbage is known for its range of financial services for small businesses, including tools for online bill payment, cash flow visualization, flexible credit and business checking.
Last year the company acquired Radius Intelligence, makers of a platform focused on the data acquisition and entity resolution space. The platform, which gave SMBs the ability to unify disparate data sets into a single record for analysis, was integrated into into Kabbage to bolster its own services for cash flow management.
Going forward, American Express said it plans to offer a broader range of cash flow management tools and working capital products to small business customers in the US. Kabbage's loan portfolio is not included in the deal.
"This acquisition accelerates our plans to offer U.S. small businesses an easy and efficient way to manage their payments and cash flow digitally in one place, which is more critical than ever in today's environment," said Anna Marrs, president of Global Commercial Services at American Express. "By bringing together Kabbage's innovative technology and talented team with our broad distribution capabilities, we can better help our customers successfully emerge from this challenging period and beyond."