BDO LLP | INTERNATIONAL TECH HUBS THIRD EDITION
02
system. David Velez, CEO of NuBank, offers one such example. Having started his digital neobank in São Paulo back in 2013, last year Velez raised $400million in Series G investment funding for Nubank, which is now the most significant fintech in Latin America and the largest digital bank in the world with more than 25million customers. Local venture capital in Brazil, no longer relying on first-time managers, continues to mature. We are seeing an increasing amount of returning investors and downstream capital, including the likes of Tiger Global, GCI and SoftBank – all significant investors in the Latin American market. Today, tech start-ups have not just been able to achieve unicorn status ($1 billion+ valuation in the private market), but a number of major players have also gone on to secure an IPO on the New York Stock Exchange. Stone, PagSeguro, Nubank and Arco are just a few of the Brazilian businesses to have successfully achieved unicorn status and broken into the global capital market, either through an IPO or a private equity.
The impending implementation of 5G technology opens another range of possibilities for potential long-term investors. The initial rollout of 5G infrastructure, with the possibility of having a partnership with Chinese technology provider Huawei, is expected to be approved for the second half of 2021. This development will open up scope for wider data reach, increase the need for data protection, and deliver more market space for technology businesses looking to secure a place as a digital- first leader in this fast-developing region.
TODAY, TECH START-UPS HAVE NOT JUST BEEN ABLE TO ACHIEVE UNICORN STATUS ($1 BILLION+ VALUATION IN THE PRIVATE MARKET) , BUT A NUMBER OF MAJOR PLAYERS HAVE ALSO GONE ON TO SECURE AN IPO ON THE NEW YORK STOCK EXCHANGE .
THE TECH ECO-SYSTEM The venture capital community in Brazil has been growing for some time, with a number of serious stakeholders underpinning the significant potential of the country’s burgeoning tech eco-
Made with FlippingBook HTML5