Brazilian Fintech Celcoin Announces US$125 Million Investment Led by Summit Partners
June 18 2024 - 11:00AM
Business Wire
Global growth equity firm partners with Celcoin
to support its continued expansion and commitment to expanding
financial access for Brazilian consumers
Celcoin, a leading company in the Banking as a Service (BaaS)
financial technology market, today announced a US$125 million
investment led by global growth equity investor Summit Partners.
Summit has a long history of partnering with market-leading fintech
companies, including EngageSmart (NYSE: ESMT), Corpay (NYSE: CPAY)
and Calypso Technology. Existing investor Innova Capital is also
participating in the round, along with experienced financial
technology executive John Coughlin, a former senior executive with
Corpay. The new funding will support Celcoin’s expansion plans as
the company works to continue delivering new and innovative
products to strengthen its leadership position in the BaaS and
embedded finance market.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20240617472638/en/
Celcoin, from left to right: Yuri
Carvalho, CFO, Bárbara Possignolo, Legal Director, Adriano
Meirinho, CMO & Co-founder, Marcelo França, CEO &
Co-founder and Thiago Zaninotti, CTO. (Photo: Business Wire)
Founded in 2016, Celcoin provides financial infrastructure
services and solutions for banks, fintechs, and enterprise
companies. Focused in three key verticals – payments, banking, and
lending – Celcoin’s offerings are designed to enable personalized
embedded finance solutions for companies across any segment and
stage of development. With over 400 customers in the financial
industry and more than 5,000 non-financial companies, Celcoin
combines market-leading technology, product innovation, and
best-in-class security to support customers in building financial
offerings that serve the needs of their end-consumers.
Brazilian financial technology is among the most advanced in the
world. In recent years, the Central Bank of Brazil has introduced
groundbreaking innovations, including the instant payment system
Pix, which was launched in October 2020. Pix transaction volume
skyrocketed from zero to 5 billion monthly transactions in just
four years. In 2021, the Central Bank introduced Open Banking, and
over 22 million customers have already consented to share their
data between participating financial institutions. Celcoin has
become the leading provider of Open Banking solutions for licensed
institutions.
“Celcoin's technology allows banks, fintechs and non-financial
companies to introduce their own financial products and embed
financial services directly into their ecosystems. We see this as
the future of the financial sector, and we are excited to be part
of this transformation,” says Celcoin CEO, Marcelo França. “With
this funding, we plan to accelerate our investments in technology
and innovation as well as evaluate both organic and M&A-driven
growth opportunities.”
“Over the last several years, we’ve worked to identify
technology companies that we believe are supporting economic
development in Brazil through financial empowerment of the
Brazilian consumer,” commented Alberto Reyes, an investor with
Summit Partners. “We believe we have found such a company in
Celcoin, and we are confident that our investment will continue to
bolster this mission.”
This financing comes at a time of strong momentum for Celcoin,
with the company recording US$63 million in annual recurring
revenue in the first quarter of 2024 – a 140% increase compared to
the same period last year. Celcoin processes over 200 million Pix
transactions monthly, underscoring the robustness and reliability
of their platform. In addition to the ongoing development of
in-house products, Celcoin has successfully completed four
strategic acquisitions since 2022: Galax Pay, specializing in
billing and sub-acquiring solutions; Flow Finance, which provides
credit infrastructure; Finansystech, a leading Open Finance
startup; and most recently, Reg+, a regtech solution dedicated to
supporting regulatory compliance.
“It is truly a privilege to partner with the impressive team at
Celcoin during this phase of exciting innovation and expansion,”
said John Coughlin, an Executive-in-Residence at Summit Partners
who will join the Celcoin Board of Directors. “We have been
impressed by the scalability of their platform and speed of new
product innovation. We look forward to supporting Celcoin as the
company continues to expand in Brazil and throughout Latin
America.”
Christopher J. Dean, a Managing Director at Summit Partners, and
angel investor Michael Esrubilsky join Coughlin on the company’s
Board.
Innova Capital, which invested in Celcoin’s two most recent
funding rounds, also participated in this financing. “Celcoin
provides a technological infrastructure that allows its clients to
take advantage of some of the greatest tailwinds in the payments
landscape in Brazil, such as bancarization, emergence of instant
payment methods, and Banking as a Service. We are excited to
continue to support the Celcoin team, and work alongside Summit
Partners and the other shareholders,” said Marcel Vitor Santos,
Managing Director of Innova Capital and Celcoin Board Member.
About Celcoin
Celcoin was founded in 2016 as a Banking as a Service technology
provider for business customers. Celcoin provides banking, credit
and payments solutions and has more than 6,000 business customers
connected to its platform. Celcoin is a B Corp certified company
with a distinct focus on building products that make a significant
social impact by expanding financial access for all Brazilian
consumers. Find out more: https://www.celcoin.com.br/
About Summit Partners
Founded in 1984, Summit Partners is a growth-focused investor
that seeks to establish partnerships with category-leading
businesses and executives, providing the capital and resources to
accelerate their growth. Summit invests across growth sectors of
the economy and has invested in more than 550 companies in
technology, healthcare, financial services and other growth
industries. A complete list of Summit investments can be found
here. Summit maintains offices in North America and Europe and
invests in companies around the world. For more information, please
visit summitpartners.com or follow on LinkedIn.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240617472638/en/
Vanessa Costa | +55 (51) 98274-4949 | vanessa.costa@fsb.com.br
Andrea Giardino | +55 (11) 99150-4565 | andrea.giardino@fsb.com.br
Susan Barr | +1 617 824 1026 | sbarr@summitpartners.com