Banking and Lending Technology Market Update

Hi, I'm Kartik Sudeep. And I'm Chris Pedone, and we're Managing Directors in Houlihan Lokey's FinTech Group, covering the banking and lending technology space. We are releasing our inaugural Banking and Lending Tech Market Update Report, which you can access through the link provided in this outreach. Like many other sectors in FinTech, and despite choppy market conditions, banking and lending tech continues to experience healthy strategic and PE deal activity. And banks and other lenders are going through rapid digital transformation to get off spreadsheets, streamline processes, and incorporate cloud-based software into their tech stacks. And of course, integrate AI. In this report, we dive deeper into specific trends driving the sector: how AI adoption is proliferating across a variety of use cases across banks and where we are in that adoption cycle, the state of digital transformation and how it's empowering banking and lending products, how open banking is adapting to become a platform for growth, the evolution of loan origination systems, AI product launches among key players, and an assessment of banks and lenders as an end market. Several of these themes have been driving acquisitions and investment activity in the sector from strategic and private equity players. Our recent advisory work on the sale of Automated Financial Systems, or AFS, to Oceansound Partners is one such example. We encourage you to download and read the report, which contains these trends, as well as market taxonomy and market maps, notable M&A and capital raise activity, and public share prices and valuation metrics. So let us hear from you if you'd like a more detailed perspective or to debate the views that we've shared.