Enova Completes Acquisition of OnDeck

Enova International (NYSE: ENVA), a leading financial technology and analytics company offering consumer and small business loans and financing, today announced it has completed the acquisition of On Deck Capital, Inc. (NYSE: ONDK), a leader in online lending for small business, for $1.89 per share, or approximately $122 million. The acquisition creates a company with significant scale and diverse product offerings in consumer and small business market segments with combined originations of nearly $5 billion in 2019 and approximately seven million customers.

Under the terms of the agreement, OnDeck shareholders received 0.092 of a share of Enova common stock and $0.12 in cash for each share of OnDeck held.

"We are excited to announce the completion of the acquisition of OnDeck. The combination establishes Enova as a premier Fintech lender with substantial scale and a diversified portfolio of brands and products," said David Fisher, CEO of Enova. "The operational integration plans and ability to recognize meaningful synergies and financial benefits of the acquisition are on track. We remain well positioned to drive long-term, profitable growth for our shareholders while addressing the needs of consumers and small businesses whose need for access to credit is even more critical in the wake of the COVID pandemic and current economic environment."

As previously announced, the transaction is anticipated by Enova to result in approximately $50 million in annual cost synergies and approximately $15 million in run-rate net revenue synergies to be fully phased-in by year-end 2022. The transaction is expected to be accretive in the first year post-closing and is expected to generate earnings per share accretion of more than 40% when synergies are fully realized.

Enova's management will discuss its quarterly results and business outlook during its third quarter 2020 earnings conference call later this month.

In connection with the closing of the acquisition, ONDK's common stock will cease to be publicly traded on the NYSE today.

Grant of Equity Inducement Award

In connection with the transaction, Enova will grant $1.16 million payable in restricted stock units (RSUs) of Enova common stock to Noah Breslow, OnDeck's former CEO, who will become an Enova employee following the transaction. The award will be granted shortly after the closing of the transaction, and subject to the terms and conditions of the applicable award agreement. Portions of the award will vest six months and twelve months from the date of the grant.

The actual number of RSUs granted will be determined based on the 45-day average of the closing price of Enova stock through the day prior to the date of closing of the transaction.

The award is intended to be an Employment Inducement Award under the NYSE's Listed Company Manual Rule 303A.08.

About Enova

Enova (NYSE: ENVA) is a leading provider of online financial services to non-prime consumers and small businesses, providing access to credit powered by its advanced analytics, innovative technology, and world-class online platform and services. Enova has provided more than 7 million customers around the globe with access to more than $20 billion in loans and financing. The financial technology company has a portfolio of trusted brands serving consumers, including CashNetUSA®, NetCredit® and Simplic®; two brands serving small businesses, Headway Capital® and The Business Backer®; and offers online lending platform services to lenders. Through its Enova Decisions™ brand, it also delivers on-demand decision-making technology and real-time predictive analytics services to clients. You can learn more about the company and its brands at www.enova.com.