BM Technologies terminates merger agreement with First Sound Bank

BM Technologies announced that the Company and First Sound Bank have reached a mutual decision not to move forward with the previously announced merger. The Company will focus near-term strategy on a sponsor bank model. BMTX recently signed a letter of intent with a new sponsor bank and is working towards a transfer of deposits to the new sponsor bank in the first half of 2023. This prospective new sponsor bank is Durbin exempt and will pay BMTX variable deposit pricing with better overall economics in the current interest rate environment than the current fixed rate agreement.