Brazilian digital lender Nubank has secured a credit line of $650m to bolster its operations in Mexico and Colombia.
Nubank will use the proceeds for technological development, product innovation, customer acquisition and hiring new talents in the region.
The new funding follows Nubank’s $2.6bn initial public offering in the US, which gave it a $41.5bn valuation.
Nubank CEO and founder David Vélez said: “The rapid growth we have seen in Mexico and Colombia has exceeded our most ambitious expectations. This funding is a reflection of the confidence that key investors and shareholders have in our business model and growth potential.
“We are redoubling our commitment in Mexico and Colombia to continue growing and generating a positive local impact through the financial inclusion of millions of Latin Americans,”
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Founded in 2013, Nubank launched its Mexican operations in 2019 and forayed into Colombia in 2020 as part of its international expansion strategy.
Currently, it offers credit cards in both countries, where it operates under the brand name ‘Nu’.
At the end of 2021, Nubank had around 1.4 million customers in Mexico, while its Colombian customer base stood at around 114,000.
Nubank counts Warren Buffet’s Berkshire Hathaway, Dragoneer, DST Global, Ribbit, Tencent, Tiger Global and Sequoia Capital as its backers.