TabaPay raises $155 million and plans to acquire Transact Bank to build TabaBank

TabaPay has closed a $155 million strategic growth financing led by FTV Capital and said it intends to acquire Transact Bank, N.A., an OCC-chartered and FDIC-insured bank in Denver, Colorado. For PSPs and high-risk platforms, the interesting part is not just the money: TabaPay is trying to pull payments and banking closer together under one roof.

1. The financing includes both primary capital for TabaPay and a secondary transaction. TabaPay said the new capital will support its broader push toward vertical integration, with the planned bank acquisition sitting right in the middle of that strategy.
2. After the acquisition, Transact Bank will be renamed TabaBank, N.A. and operate alongside TabaPay under TabaHoldings, Inc., a newly registered bank holding company. Rodney Robinson, TabaPay’s co-founder and CEO, said the idea is to bring payments and banking capabilities “under one roof” while continuing to work with the company’s network of bank partners.
3. TabaPay says it already powers money movement for leading fintechs, lenders, and other high-growth platforms through a single API for instant payments and payouts across card and bank rails. The company says this setup can cut costs by up to 75%, improve reliability, and simplify payment workflows.
4. The company also said it works with more than 20 partner banks across the U.S. and Canada, is on track to process more than $100 billion in payment volume this year, ranks as the fifth-largest card-not-present processor by transaction count in the U.S., and serves one-third of American households.
5. Once fully operational, TabaBank is supposed to add redundancy and coverage for harder use cases, including digital banking and debt repayment, while supporting RTP, FedNow, ACH, wire transfers, and card sponsorship across Visa, Mastercard, Discover, and regional networks. TabaPay also said the $155 million investment is expected to qualify TabaBank to serve as an acquirer for all industries across all major card networks, which would expand its sponsorship options for merchants, ISOs, payment facilitators, and platform customers.