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China's FinVolution Group acquires stake in Fujian Haixia Bank

Chinese fintech platform FinVolution Group, formerly known as PPDAI Group, acquired a minority stake in Fujian Haixia Bank Co. Ltd. and entered into a consumer finance partnership with the bank.

FinVolution said it purchased 281 million newly issued shares of the bank, or an approximately 4.99% stake, pursuant to a share-purchase agreement. The company did not disclose financial details of the agreement.

Further, concurrent with the equity investment, FinVolution and Fujian Haixia Bank agreed to partner on consumer finance to enhance operating efficiencies, expand markets and bolster operational capabilities.