Mogo Inc. (NASDAQ: MOGO) (TSX: MOGO) a Canada-based digital payments and financial technology company, announced on Wednesday it has completed its acquisition of Moka Financial Technologies Inc. (Moka). As previously reported, Moka (originally Mylo) is on a mission to help its users achieve their financial goals through its savings and investing app.
“The Moka app automatically rounds up your everyday purchases and invests the spare change, which makes it possible for everyone to start investing with no minimum investment, lifestyle change or financial knowledge required.”
The company itself has raised $14 million in funding from NAventures, the venture capital division of National Bank of Canada, and Desjardins Capital, the venture capital arm of North America’s largest association of credit unions. Moka has more than 500,000 active members and over 100,000 monthly subscription members, and the company generated approximately $6.5 million of revenue in 2020. It has approximately $250 million of assets under management and registered portfolio management capabilities throughout Canada and in Europe, where the company launched in France this past year.
Mogo further reported that the acquisition increases its member base to approximately 1.6 million and expands its wealth offering to include saving and investing products. In addition, the acquisition will accelerate Mogo’s plan to launch a free stock trading solution for Canadians in 2021, further solidifying its position as the most comprehensive digital wallet in Canada. Commenting on the acquisition, David Feller, Mogo’s Founder and CEO, stated:
“By adding Moka’s digital saving and investing products, technology platform and experienced fintech team, we move forward with one of the most compelling and differentiated value propositions in Canadian finance. Moka will form the core of MogoWealth, along with MogoCrypto, making Mogo’s digital wallet the most comprehensive solution in Canada.”
Philip Barrar, Founder and CEO of Moka, concluded:
“We’re excited to complete this transaction and begin collaborating with the Mogo team. Both organizations share a passion for building great digital products to improve the financial well-being of our members, and collectively we form Canada’s leading fintech team with deep capabilities in digital saving and investing, lending, and cryptocurrency.”