SoFi Buys Peach to Expand Lending Infrastructure Stack

SoFi has acquired lending infrastructure platform Peach, incorporating its loan origination and servicing tools into SoFi's business-to-business technology unit. This move aims to broaden SoFi's fintech infrastructure offerings. Financial terms were undisclosed.

Peach operates an API-first, cloud-native platform used by financial institutions and fintech firms to manage lending products. The acquisition helps SoFi fill a gap in its technology stack, complementing its existing Galileo and Technisys platforms.

The deal provides SoFi with a more comprehensive infrastructure suite for enterprise clients. This expansion further distances the company from its original identity as a digital lender and consumer finance brand.

Peach will be integrated into SoFi Technology Solutions, the unit built around Galileo. SoFi's technology platform segment has faced pressure recently, with revenue declining and a major client loss impacting account metrics.

The acquisition addresses concentration risk within SoFi's B2B business and offers a more complete product layer to enhance client retention and cross-selling. It enables SoFi to offer a single platform covering payments, card issuance, core banking, and lending infrastructure.

Peach supports SoFi's strategy to diversify revenue away from balance-sheet-driven lending. The company's consumer business remains robust, but the technology platform generates fee-based revenue less tied to credit cycles.

This acquisition is SoFi's second recent deal, following the purchase of assets from PrimaryBid. Together, these moves signal a broader buildout of SoFi's enterprise infrastructure business, focusing on lending and capital markets access.

The key question remains whether SoFi can convert these strategic additions into durable growth. The company must rebuild momentum, reduce client concentration risk, and demonstrate its integrated platform can compete effectively in the enterprise market.