In a bold move to strengthen its American consumer finance footprint, Barclays PLC announced Tuesday that it will acquire U.S.-based personal loan originator Best Egg Inc. for $800 million, marking a significant push into the fast-growing digital lending market.
The acquisition, made through Barclays Bank Delaware, underscores the British bank’s ambition to expand its U.S. retail presence beyond credit cards and into the broader consumer lending space.
A Strategic Leap Into America’s Lending Market
Best Egg, headquartered in Delaware, specializes in arranging personal loans for prime borrowers—consumers with strong credit histories. Since launching in 2013, the company has facilitated over $40 billion in personal loans to more than two million customers, becoming one of the leading names in digital finance.
Barclays said it plans to maintain Best Egg’s existing business model, which relies on alternative asset managers to fund the loans. The company earns its revenue by charging those investors fees for originating and servicing loans.
In a statement, Barclays said the acquisition will strengthen its consumer finance operations and complement its existing products.
“This transaction will strengthen our U.S. consumer bank and offers an exciting opportunity to significantly bolster our capabilities in personal lending,” said C.S. Venkatakrishnan, group chief executive of Barclays.
