News for hackers. Stuff that matters.

A comment on The Profitability Challenge for Challenger Banks. Parent comment

Re:The Profitability Challenge for Challenger Banks by trollied on Sunday October 13, 2019 @03:38AM (#21239021)
> is a "legacy" bank going to pay several billion dollars to acquire a nice app with an unprofitable business behind it? I doubt it

You’re not buying that though. You’re buying the customer base. Getting another couple of million customers isn’t something to sniff at.

[ Parent | on HN ]
Re:The Profitability Challenge for Challenger Banks by reascenda on Sunday October 13, 2019 @11:55AM (#21241051)
They've probably priced themselves out of that scenario now though.

With valuations >billion even for millions of users the acquiror is paying hundreds per customer. I'd be surprised if the economics of that stack up.

[ Parent | on HN ]