TabaPay Closes $155M Round, Acquires Transact Bank in Push for National Bank Charter
TabaPay Closes $155M Round, Acquires Transact Bank in Push for National Bank Charter #
TabaPay, a Palo Alto-based money movement platform, announced on September 2 that it has closed $155 million in growth financing and signed a deal to acquire Transact Bank, N.A., a Denver-based OCC-chartered and FDIC-insured institution. The company said the two moves are part of its push to become a full-stack financial infrastructure provider.
Growth equity firm FTV Capital led the financing round, which includes both primary capital and a secondary transaction component. Other details of the round’s structure were not disclosed.
TabaPay expects the Transact Bank acquisition to close in the fourth quarter of 2026, pending regulatory approvals from the Office of the Comptroller of the Currency and the Federal Reserve. After closing, the bank will be rebranded as TabaBank, N.A. and will operate alongside TabaPay’s existing payments platform under a shared corporate structure.
Rodney Robinson, co-founder and CEO of TabaPay, said the planned TabaBank launch would allow the company to bring payments and banking capabilities together while continuing to work with its existing network of bank partners. He added that the FTV investment would expand TabaPay’s offerings and help the firm stay at the forefront of payment innovation.
TabaPay provides money movement infrastructure to fintechs, lenders, and high-volume businesses through a unified API with direct access to banking partners and payment networks. The company is on track to process more than $100 billion in payment volume this year, according to This Week in Fintech.
A national bank charter would allow TabaPay to offer services such as deposit-taking and direct network access without relying on a partner bank. The company has built its business by sitting between clients and traditional banking infrastructure; owning an OCC-chartered institution would reduce that counterparty dependency.
TabaPay has attempted a bank acquisition before. In 2024, the company offered $9.7 million to buy assets from failed banking-as-a-service firm Synapse after that company filed for bankruptcy, but the deal collapsed when closing conditions were not met. The Transact Bank deal is an outright acquisition of an operating institution.
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