Summer, a startup offering student loan repayment and college savings programs to employers, has acquired competitor Vault Student Loan Benefits in an all-cash deal, which includes Vault's assets and IP, along with select client contracts. The deal highlights how employers consider educational assistance programs a key benefit for recruiting and retaining talent, particularly since student loan repayments resumed last fall.
"In the last six months, we've tripled our revenue. This coincides with a rise in employer demand for financial wellness solutions for their employees," Sealy says. He adds that employers offering Summer's products boost retention by 10% to 20% on average.