Nubank Raises US$400 Million, Hits US$25 Billion ValuationBy Andrea Villar | Fri, 01/29/2021 - 09:05
Brazilian fintech Nubank raised US$400 million in a Series G funding round led by Whale Rock, Invesco and Singapore’s GIC. The latest funding round valued Nubank at US$25 billion, doubling its valuation since the last funding round in 2019, a source familiar with the matter told Reuters.
“Nubank was born out of the conviction that people deserved better financial services. The pain caused by bureaucracy and the complexity within financial services is shared among all Latin Americans. With this new round of funding, we will be able to strengthen our operations in Brazil, and mainly Mexico and Colombia to free more and more people from complexity”, wrote David Velez in his LinkedIn account.
Nubank launched operations in Mexico in 2019. David Vélez said in a statement at the time that they had studied the Mexican financial system for several years and heard from many consumers about the challenges they face with traditional banking services “that do not put the consumer at the center of their strategy and product”. He highlighted Mexico as a region with great opportunities, as there are more than 36 million Mexicans who do not currently have access to the banking system. “We want to contribute to change this situation”, he added.
Founded in 2013 by Adam Edward, Cristina Junqueira and David Vélez, the platform has almost tripled its users since 2019, practically organically, serving over 30 million users in Brazil and Mexico. With this funding round and valuation, according to Tech Crunch, Nubank positions itself as the fourth most valuable financial institution in Latin America and the largest digital bank in the world.