Chetwood Financial Acquires Yobota to Enhance BaaS Capabilities

Yesterday digital bank Chetwood Financial has announced the acquisition of core banking provider Yobota to extend its Banking-as-a-Service (BaaS) capabilities.

Founded alongside the fintech in 2016 and developed as a separate entity, Yobota is a London-based technology company that has built a fast, flexible, cloud-native core banking platform. The platform allows companies to create and run innovative financial products, and manage them independently.

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The acquisition will create a more collaborative and compelling BaaS proposition as Chetwood Financial continues to grow its customer base and enable businesses to develop their own financial offerings, such as lending and payment services, using its regulated infrastructure.

Following the acquisition, Yobota will continue to deliver the core banking system (CBS), on which businesses can run fully compliant financial services whilst leveraging Chetwood's banking licence. The combined strength of the businesses will increase operational efficiencies and facilitate the delivery of a full end-to-end BaaS offering with greater ease.

In particular, non financial services businesses will be able to embed finance without needing to develop credit and pricing capabilities, alongside proposition, decisioning, modelling and operations as optional services. This allows businesses to launch financial services products with minimal upfront investment and low running costs due to their cloud based technology.

As part of the bank's robust multi-brand strategy, Yobota will continue to operate as a separate brand under the Chetwood umbrella, with Yobota's current partners and customers unaffected by the transition.

Chetwood will continue to operate its existing consumer-facing products: Wave, LiveLend, SmartSave and BetterBorrow.

Yobota CEO and founder Ammar Akhtar is stepping down to pursue new challenges after almost six years. Existing Yobota management will continue to run the company and ensure clients continue to experience excellent service uninterrupted.