PROG Holdings, Inc., a Salt Lake City-based fintech holding company, has announced an agreement to acquire Purchasing Power, a voluntary employee benefit provider, for $420 million in cash, aiming to diversify its product portfolio and expand its payment solutions ecosystem.
Purchasing Power offers employees access to brand-name products and services through automatic payroll deductions or allotments. It partners with major U.
S. employers across over 25 industries, including 48 Fortune 500 companies and seven of the top 30 U.
S. employers, granting access to more than seven million employees nationwide. The platform provides over 70,000 products and services via a proprietary payment infrastructure integrated with payroll systems.
Steve Michaels, President and Chief Executive Officer of PROG Holdings, stated that the acquisition adds a highly complementary platform, diversifying the company’s product portfolio and advancing its “Grow, Enhance and Expand” strategy. He anticipates that the combined entity will expand offerings more quickly and effectively, reach a wider customer base, and become a more diversified provider of financial health and payment services to the near- and sub-prime market.
The acquisition is expected to significantly broaden PROG Holdings’ platform by increasing consumer access to flexible, budget-friendly payment options for high-demand categories such as electronics, home furnishings, fitness, travel, and various services. Purchasing Power brings over 360 employer partnerships and a robust benefit-broker distribution channel, which is set to strengthen PROG Holdings’ existing partner ecosystem.
PROG Holdings also anticipates accelerated development of new products by combining the strengths of both businesses, aiming to enhance customer engagement, conversion, and lifetime value. Additionally, the integration is projected to generate revenue synergies, cost efficiencies, and improvements in decisioning capabilities and recoveries.
Trey Loughran, Chief Executive Officer of Purchasing Power, expressed enthusiasm about joining the PROG Holdings family, noting both companies’ shared mission to improve customers’ financial wellbeing through transparent and competitive payment options. He believes PROG’s scale and resources will accelerate Purchasing Power’s growth and enhance service to clients and customers, marking this transaction as a logical evolution for the company.
Under the terms of the agreement, PROG Holdings will fund the $420 million acquisition through a combination of cash on hand and debt financing. Purchasing Power will retain approximately $330 million of non-recourse funding debt under its existing securitization and warehouse facilities upon closing. The transaction is slated to conclude in early 2026, contingent on regulatory approvals and customary closing conditions.
PROG Holdings, headquartered in Salt Lake City, UT, operates as a fintech holding company providing payment options and consumer financial products. Its portfolio includes Progressive Leasing for lease-to-own solutions, Four Technologies for Buy Now, Pay Later options, and Build for personal credit building products. Purchasing Power, based in Atlanta, GA, specializes in financial wellness solutions for employers, offering an employee purchase program with payroll deduction.
Advisors for PROG Holdings include Stephens Inc. as financial advisor and King & Spalding LLP as legal counsel. Barclays served as financial advisor to Purchasing Power, with Kirkland & Ellis LLP acting as legal counsel.
A live webcast and conference call is scheduled for Tuesday, December 2, 2025, at 8:30 AM ET to discuss the strategic and financial implications of the acquisition.
