Business

With its latest funding, Nubank is the first startup in Brazil to be valued at $10bi

Silicon Valley firm TCV, investor of Facebook and Netflix, led the $400 million fundraising

  • With the new valuation, Nubank is now the most highly valued private startup in Latin America
  • The funds will support Nubank’s growing expansion in Latam
  • Wall Street Journal’s announcement yesterday called the startup a decacorn, which stands for companies valued at more than $10bi
  • TCV was the major investor of this round, alongside with Tencent, DST Global, Sequoia Capital, Dragoneer, Ribbit, and Thrive Capital.

Brazilian fintech Nubank, which recently opened offices in Mexico and Argentina,  has just reached another important milestone, confirming its rising growth in the region: the startup confirmed today to the Brazilian newspaper Estadão the brand new funds of $400 million, leveraging the company valuation up to $10 billion. 

The achievement places the company as the first Brazilian startup to reach the $10 billion mark, as well as making it the most valuable company in Latin America. It is also the first time that TCV, one of the largest growth equity firms in Silicon Valley and investor in players such as Netflix, Airbnb and Facebook, raises capital for a Latin American startup. 

Cristina Junqueira, cofounder and VP at Nubank

Confirmed by co-founder Cristina Junqueira to Estadão, the new investment will push Nubank’s booming expansion across Latin American countries, where, according to Junqueira, “We must play an even greater role than in Brazil, since the banks [in those other countries] are quite out of date.” 

Recently, the company has also launched a pilot project to reach the Brazilian corporate market, so as to offer checking accounts to small businesses and micro-entrepreneurs. As for the Latam expansion, the forecast is that it will start offering products in Mexico by the end of the year, and regarding Argentina, as early as the first semester of 2020.