TabaPay raises $155M growth round, plans to buy Denver bank
What's the deal? TabaPay, a Palo Alto-based money movement platform, has closed a $155 million growth equity round led by FTV CapitalDealroom has a profile for this one. Try Dealroom →. The financing blends primary capital and a secondary transaction, and comes alongside TabaPay's planned acquisition of Transact BankDealroom has a profile for this one. Try Dealroom →, an OCC-chartered, FDIC-insured lender in Denver, Colorado.
What does it do? TabaPay powers money movement infrastructure for fintechs, lenders, and high-growth platforms. Through a single API, it enables instant payments and payouts across card and bank rails, and says it helps customers cut costs by up to 75%.
By the numbers: The company works with more than 20 partner banks across the US and Canada and is on track to process over $100 billion in payment volume this year. It ranks as the fifth-largest card-not-present processor by transaction count in the US and says it serves one-third of American households.
What's the endgame? After the acquisition, Transact Bank will be renamed TabaBankDealroom has a profile for this one. Try Dealroom → and operate alongside TabaPay under a new holding company, TabaHoldingsDealroom has a profile for this one. Try Dealroom →. The move brings payments and banking under one roof while TabaPay continues working with its partner bank network.
Why now? As regulatory requirements evolve, fintechs increasingly lean on multiple sponsor banks, adding complexity and limiting redundancy. TabaBank is designed to address that, supporting rails including RTP and FedNow, ACH and wire transfers, and card sponsorship across VisaDealroom has a profile for this one. Try Dealroom →, MastercardDealroom has a profile for this one. Try Dealroom →, DiscoverDealroom has a profile for this one. Try Dealroom →, and regional networks.
What they're saying: "The planned launch of TabaBank will bring payments and banking capabilities under one roof, offering our clients a more integrated experience while continuing to work alongside our network of bank partners," said Rodney Robinson, co-founder and chief executive officer of TabaPay.
FTV Capital partner Robert Anderson said TabaPay "stands out for its scale, reliability, and profitable growth," adding that the firm has known the team for several years.
Where the money goes: The investment is expected to qualify TabaBank to serve as an acquirer across all major card networks, strengthening sponsorship for merchants, ISOs, and payment facilitators. It will also accelerate TabaPay's roadmap, including merchant liquidity products and strategic acquisitions.
The signal: At $155 million, this ranks among the larger fintech growth rounds, sitting in the top 16% by deal size. It reflects a broader push by payments firms to vertically integrate — owning the bank charter rather than renting it — as sponsor-bank complexity reshapes how money moves.
Image credit: Generated with Gemini
