Payward has signed a definitive agreement to acquire Saldo Finance Oy, a Finnish holding company whose subsidiary, Saldo Bank UAB, is a digital-first specialized bank licensed in Lithuania. The transaction gives Payward an EU banking license with passporting across five European markets and is expected to close in 2027, subject to regulatory approvals. The company described the move as a deliberate next step in a banking infrastructure strategy that has been built license by license over several years.
A Deliberate Infrastructure Build
Payward Banking is not a new ambition or a pivot, according to the company. It already holds a Federal Reserve limited-purpose master account in the United States and an electronic money institution license from the Central Bank of Ireland. The business has originated more than US$2 billion in loans, with each piece of infrastructure designed to move money efficiently without unnecessary third-party permission.
Saldo Bank's European Footprint
Saldo Bank brings an EU banking license and a presence across four operating markets plus a passport into the Netherlands. The bank already offers retail term deposits in Lithuania, Finland, Sweden, and Germany, alongside lending infrastructure and banking-as-a-service capabilities. Payward said it is not acquiring a bank simply to become a bank, but rather to obtain infrastructure that can serve European clients as a primary financial institution.
Expected Product Expansion
If the transaction closes as expected in 2027, Payward Banking plans to offer interest on deposits, building on Saldo Bank's existing retail term deposits. It also expects to provide secured and unsecured SME loans, consumer lending, and credit cards, which would materially accelerate its lending roadmap. The acquisition is additionally designed to support banking-as-a-service through passporting, card issuance, and full SEPA payments access for partners.
Saldo Bank's Current Operations
Saldo Bank serves retail and SME customers across its licensed markets today. It holds retail term deposits in every market where it operates, provides consumer lending in Lithuania, Finland, and Sweden, and offers SME lending in Lithuania and Finland. Its credit card has launched in Finland and is expected to launch in Sweden in 2027, while embedded lending partnerships are active in Finland and Germany.
Executive Perspectives
Saldo Bank President Jarkko Mäensivu said a banking license is only as valuable as what is built on top of it. He added that Payward has spent years assembling regulated infrastructure across the United States and Europe, and that combining both firms' capabilities can give more customers access to banking, payments, and lending in one place. Payward Co-CEO Arjun Sethi said the EU banking license lets the company serve European clients the way a primary financial institution should.
Path to Closing
The transaction is expected to close in 2027, subject to customary closing conditions and regulatory approvals. Payward said work on integration and earning regulatory approval is already underway. The company views the EU as a starting point for a global ambition to own the primary financial relationship through deposit, lending, and payment capabilities.
This acquisition would give Payward a regulated foundation in Europe without forcing it to build a bank from scratch. The deal combines Saldo Bank's live deposit and lending operations with Payward's existing payments and lending infrastructure. If approved, it positions Payward Banking to hold, move, and put customer assets to work across multiple European markets through one unified system.