He noted that he began talking to Navient a year ago. Delaware-based firm Navient intends to start issuing student loans in 2019 after its recent acquisition of fintech start-up Earnest in a cash deal worth $155m. Navient, a Sallie-Mae spin-off created in 2014, services and collects about $300bn in student loans, while San Francisco-based Earnest is an online lender specialising in refinancing student loans. The deal will give Earnest the financial support of a larger company while Navient will gain access to Earnest's technological expertise. In addition to these two companies, there are many more that have been acquired by private equity firms over the past few years.
Delaware-based firm Navient intends to start issuing student loans in 2019 after its recent acquisition of fintech start-up Earnest in a cash deal worth $155m. Navient, a Sallie-Mae spin-off created in 2014, services and collects about $300bn in student loans, while San Francisco-based Earnest is an online lender specialising in refinancing student loans. The deal will give Earnest the financial support of a larger company while Navient will gain access to Earnest's technological expertise. In addition to these two companies, there are many more that have been acquired by private equity firms over the past few years.