Chime Financial to Acquire Stride Bank Parent Central Service Corp for $590 Million

Overview of the Transaction

On September 8, 2026, Chime Financial, Inc. (NASDAQ: CHYM) entered into a definitive Agreement and Plan of Merger to acquire Central Service Corporation (CSC), the parent entity of Stride Bank, National Association, via a merger of Clocktower Merger Sub, Inc. into CSC.

Key Transaction Terms

• Purchase Price: $590 million in cash, subject to customary purchase price adjustments (including transaction expenses, pre-closing dividends, and preferred stock redemption costs).
• Structure: Clocktower Merger Sub, Inc., a direct wholly owned subsidiary of Chime, will merge with and into CSC, with CSC surviving as a wholly owned subsidiary of Chime.
• Preferred Stock: All outstanding shares of CSC preferred stock will be redeemed immediately prior to the effective time.

Regulatory & Strategic Implications

• Bank Holding Company Status: Upon completion, Chime will become a bank holding company under the Bank Holding Company Act of 1956.
• Approvals Required: The transaction is subject to customary regulatory approvals, including the Board of Governors of the Federal Reserve System and the Office of the Comptroller of the Currency (OCC).
• Stockholder Approval: The requisite affirmative vote of the majority of CSC outstanding common stock has already been obtained.

Market & Strategic Impact

This acquisition represents a transformative strategic step for Chime, securing a national bank charter infrastructure and deepening control over its banking operations and deposit base.