PayPal Acquires Small-business Lender Swift Financial For Undisclosed Sum

PayPal Holdings Inc. announced Thursday that it is acquiring small-business lender Swift Financial. The online lender's shares were down 2.8% in early afternoon trading. PayPal did not disclose the deal's terms and said the acquisition would close by the end of the year. Delaware-based Swift Financial offers credit to businesses through loans and advances, and the deal will increase small-business owners' access to capital via loans of up to $500,000, and credit to merchants not using its services. PayPal has operated its own Working Capital unit since 2013, and has loaned more than $3 billion to small-businesses in total. PayPal shares have climbed more than 35% year-to-date, while the S&P 500 index has gained 9.4%.