Walmart Inc. selected Capital One Financial Corp. as its new store credit card issuer on July 26 after ending its co-branded card deal with Synchrony Financial.
Walmart signed a credit card program agreement with Capital One, under which the latter will become the exclusive issuer of Walmart's private label and co-branded credit card program in the U.S. beginning Aug. 1, 2019.
Additional details regarding the expected transition to the new card program will be provided in 2019, the retailer said.
The Wall Street Journal reported earlier in the day that under the deal, Capital One will issue credit cards that can only be used on Walmart's website and stores, as well as co-branded cards that can be used almost anywhere else.
Bloomberg News reported July 12 that Walmart was considering moving the business to Capital One from Synchrony Financial.
Moelis & Co. and Greenhill & Co. acted as financial advisers to Walmart and Morrison & Foerster served as Walmart's legal counsel. Wachtell, Lipton, Rosen & Katz acted as legal counsel to Capital One.