Enova has officially withdrawn its applications to acquire Grasshopper Bancorp and its subsidiary, Grasshopper Bank. The company had initially announced the $369 million deal in December 2025, aiming to establish a more diversified financial services entity.
CEO Steve Cunningham stated that the decision follows a determination that the regulatory environment lacks clear standards for non-bank entities seeking banking status. He noted that the process became susceptible to political pressure and advocacy rather than statutory guidance.
The withdrawal follows a July request from 20 state attorneys general to federal regulators, including the Federal Reserve and the OCC. The officials urged authorities to deny banking privileges to companies accused of using partnerships to bypass state interest-rate caps, specifically citing the Enova-Grasshopper deal.
Despite the failed acquisition, Enova maintains its financial outlook for 2026. The company reaffirmed its guidance, projecting year-over-year revenue growth of 20% to 25% and adjusted EPS growth of 30% to 35% for the full year.
