Upbound Expands Financial Wellness Offerings with Brigit Acquisition

Upbound Group, the parent company of Rent-A-Center and Acima, has announced plans to acquire financial health technology firm Brigit in a deal valued at up to $460 million. The acquisition, expected to close in the first quarter of 2025 pending regulatory approvals and closing conditions, is set to enhance Upbound's financial solutions and bolster its commitment to serving the financially underserved.

The acquisition aims to create a comprehensive technology platform that combines Upbound’s lease-to-own services with Brigit’s financial wellness solutions, including liquidity tools, credit-building resources, and educational programs. "The ability to add new products for our customers beyond lease-to-own is an important part of our strategy," said Upbound CEO Mitch Fadel. "Now, we can offer liquidity solutions, budgeting, credit building, financial literacy, and savings. This transaction will position Upbound for accelerated growth, greater scale, and a more diversified financial profile, ultimately driving long-term value for our shareholders."

Brigit, known for its innovative financial health app, provides direct-to-consumer products like its Instant Cash advance for earned wage access, a Credit Builder tool, and other financial wellness resources. The app operates on a subscription-based model and currently serves nearly 2 million monthly active users, including 1 million paying subscribers and nearly 1 million free subscribers. Brigit’s technology is powered by proprietary artificial intelligence (AI) and machine learning algorithms that offer cash flow data insights to help customers manage their finances effectively.

Following the acquisition, Brigit will become a business segment within Upbound, continuing to operate under its existing branding and maintaining its headquarters in New York City. Founders Zuben Mathews and Hamel Kothari will remain at the helm of Brigit. "By combining forces with Upbound, we can accelerate our impact and better serve the millions of Americans who have been historically underserved by traditional financial institutions," said Mathews.

The move aligns with Upbound’s broader mission to empower customers by offering diverse financial solutions that build confidence and improve access to credit. Since its rebranding from Rent-A-Center in February 2023, Upbound has focused on expanding its reach and capabilities. The company’s portfolio includes Acima, a virtual lease-to-own platform acquired in 2020, and the Acceptance Now flexible leasing unit.

According to Upbound Chief Financial Officer Fahmi Karam, the company’s philosophy centers on "moving customers up the credit chain, giving them more financing solutions and alternatives, and providing a little more financial confidence." The integration of Brigit’s cutting-edge technology and financial tools is expected to strengthen Upbound’s position as a leader in financial wellness for underserved communities.

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