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Yuriy Kostenko and Alessandro Mighetto • 19 April, 2024

Q1 2024 Report: Global Fintech M&A Poised for Rebound in 2024

A cautious but optimistic sentiment is prevailing in the Fintech and Payment sector. Despite a subdued start in 1Q 2024, investors anticipate an uptick in M&A deal flow throughout 2024.

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General Commentary & Highlights

Global: Fintech M&A and Fundraising Poised for a Rebound from Q1 2024

  • Deal volume of global fintech M&A deals remained subdued in Q1, with the number of deals dropping 15% in 1Q 2024 (compared to 1Q 2023).
  • We expect an acceleration of deal activity through 2024 and we are already seeing evidence of this acceleration in North America and Europe.

North America: Evidencing Expanded  Fintech Deal Flows in Q1 '24

  • North America rebounding from a market low in fintech deal activity in Dec 2024.
  • We expect growth momentum established in Q1 to continue through 2024 culminating in growth vs. 2023.

Europe: Also Showing Signs of Rebound  with Q1 Ramping up from 2023 Trough

  • 2024 deal activity trending on similar levels to 2023.
  • But we expect an acceleration of activity in rest of 2024 as buyers and sellers align to a new normal of valuation.

APAC: Fintech M&A Remains Somewhat Subdued Thus Far in 2024

  • Fintech M&A deal activity remains subdued in the Asia Pacific, including a 25% decline in number of transactions in Q1 2024 vs. 2023.
  • China macro challenges expected to drive ongoing conservatism in this market, although markets such as Japan could see an increase in deal activity.

LATAM & MEA: Fintech M&A Remain Subdued, Facing More Macro-Headwinds

  • Fintech in rest of the world (LATAM and MEA regions) is muted by macro headwinds including political instability and armed conflict, which is likely to continue in 2024.
  • But the attractive fundamentals of these high-growth markets remains and a return to higher deal volumes will come quickly if the market reaches greater stability.

Fintech Deal of the Quarter: Capital One Acquires Discover

  • Capital One + Discover will become the largest credit card issuer in the US market, accounting for 19% of the US credit card market.
  • The acquisition will generate expense synergies of ~$1.5B in operating expenses and ~$1.2B in network expenses by 2027.
  • The acquisition will drive cost of funding efficiency, cross-selling opportunity, and create an appealing opportunity for innovation by owning a national payment network that also has a strong international presence.

Please do not hesitate to contact Yuriy Kostenko at or Alessandro Mighetto at with comments or questions.