ImpactAlpha, June 9 — São Paulo-based Nubank launched in 2014 to provide underserved Brazilians no-fee, low-interest digital credit cards they could manage on their smartphones.
It now serves 40 million customers; in the past five months, Nubank says it has been adding more than 45,000 new customers per day. “There is still a lot to be done – around 50% of the population in Latin America still does not have a bank account,” said Nubank’s David Velez.
The company has raised $1.2 billion to expand to Mexico and Columbia, where it says it has waitlists of 1.8 million people. The Series G financing gives Nubank a valuation of $30 billion.
Credit card play
One in five Nubank customers have never owned a credit card. The latest round of financing includes a $500 million investment from Warren Buffett’s Berkshire Hathaway and $250 million from existing investors, including Base10 Partners (see, “Base10’s new $250 million fund”), as well as $400 million initial raised in January.