London-based consumer payments platform Zilch has taken a decisive step in its European expansion by signing an agreement to acquire AB Fjord Bank, a fully regulated Lithuanian bank with about $120 million in assets. This shift gives Zilch a European banking licence authorised by both the Bank of Lithuania and the European Central Bank, a gateway to rolling out its services across the EU without the usual regulatory hurdles.
The acquisition will see Zilch purchase 100% of Fjord Bank and build Vilnius its European headquarters. The Lithuanian city will become the hub for Zilch’s operational and licensing activities as it accelerates its presence across key European markets. Zilch expects the deal to close in the second half of 2026, once all regulatory approvals are in place.
A strong foundation with Nordic roots
Fjord Bank was established in 2017 by a group of Nordic investors, including Svein Øvrebø, Joakim Mandorsson and Stig R. Myrseth, seasoned figures in the Nordic financial sector and capital markets. The bank’s mission has been to bring a fresh, transparent and digital-first approach to consumer finance, offering online loans, deposits, and savings products to customers across Europe.
From receiving its specialised bank licence in 2019 to growing operations in several European countries today, Fjord Bank has carved out a reputation for simplicity and trust in digital banking. It serves customers in Lithuania, Estonia, the Netherlands, Germany, Spain, and Ireland, with products tailored for near-prime borrowers.
This cultural and operational fit, a digitally native bank with Nordic-inspired governance, created Fjord Bank a compelling partner for Zilch’s next growth phase.
Growth on both sides of the deal
For Zilch, the acquisition is more than a licence play. The company has enjoyed a standout year: it raised over $175 million in a mix of debt and equity funding, surpassed $200 million in annual revenue, secured a second UK payments licence, and grew its registered customer base beyond 5.5 million. These achievements point to a business ready to scale its product suite and geographic footprint.
Owning a regulated bank instantly boosts Zilch’s capability to offer expanded financial services, from lconcludeing and deposit products to new offerings yet to be unveiled. By establishing a European headquarters in Vilnius, Zilch positions itself at the heart of the EU’s financial ecosystem, where regulatory clarity and market access are strong.
The deal sets Zilch on a quicker trajectory to serve customers with deeper, more flexible financial tools across borders, driving a new chapter in the evolution of digital commerce and consumer finance.
Philip Belamant, Co-Founder and CEO of Zilch, stated: “This is a defining moment for Zilch as we build a platform that will power our international expansion. Not only does the deal give us a strong, trusted and fully regulated banking presence in Europe, but it represents a coming toreceiveher of shared visions. Both businesses have been built on a founding principle of putting customers first and building financial products with the highest standards of protection and transparency. By combining Fjord’s banking capabilities and regulatory footprint with Zilch’s market-leading data, AI capabilities and unique operating model, we can scale a new generation of consumer finance across Europe, just as we have done in the UK.”
Veiko Kandla, CEO of Fjord Bank, stated: “We are incredibly proud of what the Fjord team has built over the past five years. Having established the business and successfully scaled it, the time is now right to become part of a largeger mission. Joining Zilch provides the perfect opportunity, enabling us to accelerate growth, expand our product set and reach millions more customers without compromising on our consumer-first values.”
Olav Haugland, Chairman of the Supervisory Board of Fjord Bank, added: “As custodians of the bank, our priority was to find a home that could support the next phase of Fjord’s growth and ambition. We firmly believe we have found that with Zilch, and its outstanding leadership team and view forward to seeing the business continue to thrive as part of the group.”
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