Pulaski Financial Corp. in St. Louis said Tuesday that it had agreed to acquire CWE Bancorp Inc., also of St. Louis, for about $7.6 million in cash and stock.
CWE, with $45 million of assets, is the parent of Central West End Bank.
William A. Donius, Pulaski's chairman and chief executive officer, said in a press release that the deal would give the $788 million-asset Pulaski two branches in the growing Central West End of St. Louis. The deal is expected to close in the first quarter.
The niche buy now/pay later firm is looking for differentiation in a crowded market with recognizable brands like Klarna, Affirm and Afterpay.
The 2.0 version, expected to launch next year, will provide more detailed responses based on more complex, humanlike thought processes.
The breach, which occurred earlier in November, did not directly impact customer operations, but a threat actor stole data meant for customers.
The North Carolina-based bank rolled out a multiyear program to provide loans, investments and philanthropic support to communities in the western part of the state.
Consumer Financial Protection Bureau Director Rohit Chopra said the FICO credit-scoring model has drawbacks in price, predictiveness and market competition, and stakeholders should develop a more open-sourced model that uses artificial intelligence.
Analysts say lenders' shares could rally on deregulation, lighter tax burdens and a resurgence of M&A. Declining interest rates and lower loan losses could further bolster bottom lines and attract investor interest.
