Canadian payments FinTech Nuvei is set to acquire Brazilian payments institution Pay2All.
The deal, announced Monday (Aug. 5), is designed to expand Nuvei’s capabilities in Brazil and its presence in the larger Latin American market.
Pay2All’s payment institution license from Brazil’s central bank will let Nuvei act as an “issuer of electronic currency,” the company said in a news release, offering services such as accepting payments, managing eWallets and betting accounts, and participating in all of Brazil’s local payment systems, including processing PIX transactions.
“Securing a payment institution license in Brazil has been a top priority, and will mark another significant milestone in our global expansion strategy,” said Nuvei CEO Philip Fayer. “The proposed transaction not only strengthens our presence in LATAM but also demonstrates our commitment to providing fully localized and modern payment solutions to businesses in Brazil.”
The acquisition, which still needs regulatory approval, follows Nuvei’s other recent efforts in Latin America. The company announced in June that it had become the first global payments company to offer direct local acquiring in Colombia.
Nuvei said it is also implementing a local acquiring service in Mexico, “leading to the fulfillment of processing requirements to become a direct acquirer under the Comisión Nacional Bancaria y de Valores (CNBV),” with further Latin American expansion to follow.
With its efforts in Brazil, Nuvei is targeting a country that – as PYMNYS wrote last month – “has emerged as the global leader in digital engagement among its consumers.”
The country of 215 million people has seen success in digital innovation exemplified by the widespread embrace of Pix, the instant-payment app launched by Brazil’s central bank in 2023. In addition, the payment/eCommerce platform “Amazon of Latin America” — Mercado Libre — launched in Brazil in 1999 and remains in widespread use.
“This adoption is a testament to Brazil’s strong digital infrastructure, with two-thirds of consumers owning smartphones and 92% having access to at least a 4G network,” PYMNTS wrote, citing data from the recent “How the World Does Digital” report.
PYMNTS took a closer look at the country’s embrace of digital payments last month in an interview with Ralf Germer, CEO and founder of PagBrasil.
Mobile phones have become the chief device for online purchases in Brazil, and Pix’s integration with mobile platforms has helped consumers to make transactions via smartphone.
“Brazilians are very open to new things, it is a part of the country’s culture,” Germer told PYMNTS CEO Karen Webster. “People just try things out and if it works, we’ll continue using it. If it doesn’t, we will try something else. This helps drive digital adoption.”
This, he added, means that by accepting Pix payments, merchants can tap into a larger base of customers.
