The UK’s largest high street bank is reportedly in talks to acquire digital wallet provider Curve.
According to Sky News, Lloyds Banking Group is in advanced discussions regarding a deal valued at approximately £120 million. Sources indicate that an agreement could be reached as early as September.
If finalized, this acquisition would enhance Lloyds’ digital banking offerings. Notably, the proposed price is less than the £133 million valuation given to Curve after its Series C funding round in 2023.
Curve has emerged as a competitor to Apple Pay, and the acquisition discussions come at a time when Apple faces pressure from EU regulators to allow third-party access to its payment services. Since its inception, Curve has raised over £200 million in equity, including around £40 million last year, though it has also reduced its workforce and paused its expansion plans in the U.S.
Lloyds sees Curve’s potential to develop a smartphone-based wallet that would allow the bank to circumvent Apple Pay fees. The bank already holds stakes in various fintech companies, including banking-as-a-service platform ThoughtMachine, and aims to strategically enhance its technological capabilities.