Walmart To Launch A Fintech Startup In Partnership With Ribbit Capital

By Amit Chowdhry ● Jan 14, 2021
  • Walmart Inc (NYSE: WMT) recently announced it will be launching a new fintech startup to develop modern and affordable financial solutions. These are the details.

Walmart Inc (NYSE: WMT) recently announced it will be launching a new fintech startup to develop modern and affordable financial solutions. This new company will be a strategic partnership with leading fintech investment firm Ribbit Capital. The venture is going to bring together Walmart’s retail knowledge and scale with Ribbit’s fintech expertise to deliver tech-driven financial experiences tailored to Walmart’s customers and associates.

The company is going to be majority-owned by Walmart. And its board will include John Furner, president and CEO, Walmart U.S.; Brett Biggs, executive vice president and chief financial officer, Walmart; and Meyer Malka, managing partner of Ribbit Capital. And Walmart plans to add independent industry experts to the board and to build a management team of experienced fintech leaders. It anticipates that growth may come through partnerships and acquisitions with leading fintech companies.

Launched in 2012, Ribbit’s mandate is to invest in the best entrepreneurs and businesses disrupting financial services. And its current portfolio includes no-fee mobile investment platform Robinhood; consumer technology platform Credit Karma; and Affirm, which provides innovative payment options for customers.

Walmart is going to continue to serve customers through its existing financial services and partnerships with a number of third parties, including Walmart Credit Card, Walmart Money Card, check cashing, money transfers, installment financing, etc.

KEY QUOTES:

“For years, millions of customers have put their trust in Walmart to not only save them money when they shop with us but help them manage their financial needs. And they’ve made it clear they want more from us in the financial services arena. We’re thrilled to work with Ribbit Capital in a new venture to help us deliver innovative and needed options to our customers and associates – with speed and at scale.”

— John Furner, president and CEO, Walmart U.S.

“Walmart has a relationship with millions of customers and associates built on trust, security and integrity. When we combine our deep knowledge of technology-driven financial businesses and our ability to move with speed with Walmart’s mission and reach, we can create and deliver financial offerings that are second to none.”

— Meyer Malka, managing partner, Ribbit Capital