So far this year there have been 87 deals worth $116.6 billion, compared to 89 deals worth $31.8 billion at the same point in 2018. The report, published by Dealogic, shows that the value of fintech deals has increased four-fold in comparison to 2018 although the number of transactions has remained largely the same.
A key contributor has been three large acquisitions of fintechs in the US made this year – Fidelity’s $43.3 billion purchase of Worldpay in March, Fiserv’s takeover of First Data in January $39.4 billion and Global Payment’s $26.2 billion acquisition of Total System Services in May.
The US led the way in terms of the most valuable deals, followed by France and the UK, and Tanaka anticipates a similar volume of transactions in the latter half of the year.
The second half of 2019 will likely bring further market consolidation to boost costumer data retention and provide clarity on the financial ability of the different players.However, as encouraging as the findings may be for the fintech market, there is a concern in some quarters that the fintech market is approaching peak status.