Nuvei to Acquire Licensed Payment Institution in Brazil

Date – 05-Aug-2024

The proposed acquisition marks a major milestone in Nuvei’s global expansion strategy and significantly enhances its presence in the LATAM region.

Nuvei Corporation, a leading Canadian fintech company, has announced its entry into a definitive agreement to acquire Pay2All Instituição de Pagamento Ltda. (“Pay2All”), a licensed Payment Institution regulated by the Central Bank of Brazil. This acquisition represents a key milestone in Nuvei’s global expansion strategy and underscores its commitment to the Latin American (LATAM) market.

The acquisition will grant Nuvei a Payment Institution license, allowing it to offer a full suite of payment services in Brazil. This includes accepting payments, managing e-wallets and betting accounts, and engaging with all local payment systems, including Pagamentos Instantâneos (“PIX”) transactions. The license also positions Nuvei to provide transactional services in the newly regulated sports betting and online gaming sectors, in line with Law No. 14.790/23.

Brazil’s iGaming market is poised for significant growth, with revenue expected to reach US$1.97 billion in 2024 and a projected annual growth rate (CAGR 2024-2029) of 15.39%, potentially reaching US$4.03 billion by 2029. By acquiring Pay2All and securing the Payment Institution license, Nuvei aims to establish itself as a leading payment partner in Brazil’s iGaming and eCommerce sectors.

The transaction is subject to customary closing conditions, including approval from the Central Bank of Brazil and local antitrust authorities.

Philip Fayer, Nuvei’s Chair and CEO, commented: “Obtaining a Payment Institution license in Brazil is a major milestone in our global expansion plan. This move not only strengthens our presence in LATAM but also reaffirms our commitment to delivering cutting-edge, localized payment solutions for businesses in Brazil. We look forward to supporting the growth of eCommerce and iGaming operators in this vibrant market.”

In 2024, Nuvei has already demonstrated its commitment to LATAM by becoming the first global payments company to offer direct local acquiring in Colombia. The company is also working on a local acquiring service in Mexico, aiming to meet the processing requirements to become a direct acquirer under the Comisión Nacional Bancaria y de Valores (CNBV). Further strategic expansion in LATAM is planned.