Nubank (NUBR33) raised $330 million in capital to expand its operations in Mexico. This Tuesday (6), the fintech announced that it also received approval from the local regulatory body to expand its product portfolio with Mexican clients.
In a note, Nubank emphasized that the new investment is added to the billion dollars that the company has already invested in the country.
“Our mission is to revolutionize financial services in the country and give Mexicans control of their money, in a single application and without complexity,” said Iván Canales, general manager of Nu México.
The local banking regulator, CNBV, approved the expansion of Nubank's product portfolio in Mexico. The company may launch digital savings accounts and debit cards announced last month.
These investments and regulatory approvals provide significant growth opportunities for Nu with deposits and, in the future, other financial products such as personal loans.
“We celebrate the regulator's vision of promoting greater competition in the market and therefore enabling better and more inclusive financial products in Mexico,” Canales added.
Nubank Expansion
According to FinTech, NuMexico already has more than 3 million customers and the company is the largest issuer of new credit cards in the country.
The operation in Mexico represents Nubank's second largest market and is considered a strategic move in the company's globalization roadmap.
“We are making strong investments in Mexico because we believe in the incredible potential of this vibrant market and the potential for growth as more people have access to high-quality financial services,” said Cristina Junqueira, co-founder of Nubank.
Mexico and Colombia showed stronger initial growth than Pau-Brazil and potentially represent an even bigger opportunity for the company.
Nubank's BDRS rose by 1.12% to R$ 3.61 around 10:50 am, according to Status Invest.