Citi's US Consumer Cards division has agreed to acquire Kard Financial, Inc. (Kard), a company operating a commerce media and rewards platform that helps banks and fintechs strengthen customer engagement through personalised offers. The transaction terms were not disclosed and are described as not material to Citi's financial results. Completion remains subject to customary closing conditions, and until the deal closes, Citi and Kard will continue to operate as separate organisations.
Kard's platform connects financial institutions and merchants using verified transaction data and merchant-funded rewards, drawing on a network of fintechs, banks, and neobanks that collectively process billions of transactions. The company uses machine learning-based personalisation and matching capabilities designed to simplify rewards management for card issuers while linking merchants and brands with consumers based on transaction behaviour. According to the companies, this approach is intended to support measurable outcomes for merchants seeking to reach relevant customer segments.
Strategic rationale
Citi has said the acquisition is intended to combine its scale and payments expertise with Kard's technology, personnel and merchant relationships, to expand Citi's commerce ecosystem. The companies indicated that the deal is expected to enable more personalised rewards and offers for cardholders, as well as additional avenues for merchants and brands to engage consumers.
Abhinav Anand, Citi’s Head of Value Cards, Lending and Commerce, said the acquisition reflects the company's focus on helping customers extract more value from everyday spending, noting that Kard's capabilities complement Citi's plans for commerce and loyalty. Ben Mackinnon, Kard’s Founder and Chief Executive Officer, described the deal as an opportunity to extend the company's rewards technology to Citi's cardholder base, in addition to the customers Kard already serves through its existing network. Citi's Consumer Cards business serves approximately 70 million cardmembers, according to the companies.
Advisors and next steps
Keefe, Bruyette & Woods, A Stifel Company, acted as exclusive financial advisor to Kard on the transaction. Sullivan & Cromwell LLP acted as legal counsel to Citi, while Latham & Watkins LLP advised Kard. No timeline for closing was disclosed, other than the requirement to satisfy customary conditions.
The acquisition adds to a broader trend of card issuers seeking to embed commerce media and merchant-funded rewards directly into their loyalty programmes, as banks look for additional ways to monetise transaction data while offering personalised value to cardholders. For Citi, the deal extends its existing consumer cards proposition by incorporating a dedicated rewards and offers infrastructure rather than building similar capabilities internally.
