Fintech
Brazilian fintech Celcoin announces $125 million investment led by Summit Partners – Company Announcement
Global growth equity firm partners with Celcoin to support its continued expansion and commitment to broadening financial access for Brazilian consumers
SAO PAULO–(BUSINESS WIRE)–June. 18, 2024–
CelcoinLeading financial technology company Banking as a Service (BaaS) today announced a $125 million investment led by a 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 will also participate in the round, along with experienced financial technology executive John Coughlin, a former senior executive at 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.
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Celcoin, from left to right: Yuri Carvalho, CFO, Bárbara Possignolo, Legal Director, Adriano Meirinho, CMO and co-founder, Marcelo França, CEO and co-founder and Thiago Zaninotti, CTO. (Photo: Business Wire)
Founded in 2016, Celcoin provides financial infrastructure services and solutions for banks, fintechs and corporate businesses. Focused on three key verticals: Payments, Banking and Lending, Celcoin’s offerings are designed to enable customized integrated financial solutions for businesses across any segment and stage of development. With over 400 customers in the financial sector and more than 5,000 non-financial companies, Celcoin combines market-leading technology, product innovation and best-in-class security to support customers in creating financial offerings that meet 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 Pix instant payment system, launched in October 2020. Pix transaction volume has 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 agreed to share their data between participating financial institutions. Celcoin has become the leading provider of Open Banking solutions for authorized institutions.
“Celcoin’s technology enables 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 are excited to be part of this transformation,” says Marcelo França, CEO of Celcoin. “With this financing, we plan to accelerate our investments in technology and innovation, as well as evaluate both organic and organic growth opportunities than driven by mergers and acquisitions.”
“Over the past few years, we have worked to identify technology companies that we believe are supporting economic development in Brazil through the financial empowerment of the Brazilian consumer,” commented Alberto Reyes, an investor at Summit Partners. “We believe we have found such a company in Celcoin and are confident that our investment will continue to support this mission.”
This funding comes at a time of strong momentum for Celcoin, with the company reporting $63 million in annual recurring revenue in the first quarter of 2024, a 140% increase over the same period last year. Celcoin processes over 200 million Pix transactions monthly, underscoring the robustness and reliability of its platform. In addition to continued internal product development, Celcoin has successfully completed four strategic acquisitions since 2022: Galax Pay, specializing in invoicing and sub-acquiring solutions; Flow Finance, which provides credit infrastructure; Finansystech, one of the main Open Finance startups; 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 Celcoin’s board of directors. “We were impressed with the scalability of their platform and the 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, CEO of Summit Partners, and angel investor Michael Esrubilsky join Coughlin on the company’s board of directors.
Innova Capital, which invested in the last two financing rounds of Celcoin, also participated in this financing. “Celcoin provides a technological infrastructure that allows its customers to take advantage of some of the biggest tailwinds in Brazil’s payments landscape, such as bankization, the emergence of instant payment methods and Banking as a Service. We are excited to continue supporting the Celcoin team and work alongside Summit Partners and other shareholders,” said Marcel Vitor Santos, managing director of Innova Capital and member of the Celcoin board of directors.
About Celcoin
Celcoin was founded in 2016 as a provider of Banking as a Service technology for corporate clients. Celcoin provides banking, credit and payment solutions and has more than 6,000 corporate customers connected to its platform. Celcoin is a certified B Corp company with a focus on creating products that have a significant social impact by expanding financial access for all Brazilian consumers.
Find out more: https://www.celcoin.com.br/
Information about the summit partners
Founded in 1984, Summit Partners is a growth-focused investor that seeks to establish partnerships with category-leading companies and executives, providing the capital and resources to accelerate their growth. Summit invests across all growth sectors of the economy and has invested in more than 550 companies in technology, healthcare, financial services and other growth sectors. You can find a complete list of Summit’s investments Here. Summit has offices in North America and Europe and invests in companies around the world. For more information please visit summitpartners.com or continue LinkedIn.
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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
Source: Celcoin