Walmart is partnering with Ribbit Capital, the company behind the Robinhood no-fee mobile investment app, on the new venture. Ribbit, which was founded in 2012, sees disrupting financial services as central to its mission. Besides Robinhood, Ribbit’s brands include Credit Karma and Affirm, which provides payment options.
“For years, millions of customers have put their trust in Walmart to not only save them money when they shop with us but help them manage their financial needs,” said Walmart U.S. president and CEO John Furner. “And they’ve made it clear they want more from us in the financial services arena. We’re thrilled to work with Ribbit Capital in a new venture to help us deliver innovative and needed options to our customers and associates – with speed and at scale.”
The new fintech company will be majority-owned by Walmart. Its board will include Furner and Walmart executive vice president and chief financial officer Brett Biggs, as well as Ribbit Capital managing partner Meyer Malka.
“Walmart has a relationship with millions of customers and associates built on trust, security and integrity,” Malka said. “When we combine our deep knowledge of technology-driven financial businesses and our ability to move with speed with Walmart’s mission and reach, we can create and deliver financial offerings that are second to none.”
Walmart will continue to serve customers through its existing suite of financial services, which include Walmart Credit Card, Walmart Money Card, check cashing, money transfers and installment financing.