FinTech Monitor

Miranda’s Weekly Mex FinTech Monitor

February 06, 2024 

 

Mexico FinTech News

Banorte officially launches digital bank Bineo with much fanfare, not much new

Mexican digital bank Bineo has launched its app-based services, backed by a Multiple Banking Institution license from CNBV and deposit protection from IPAB. Positioned within the Banorte group, Bineo seems to be targeting rivals like Nubank and Ualá. Bineo has partnered with SAP Fioneer for its cloud banking platform, enabling rapid product development and scalability. The bank plans to leverage this technology to onboard 2.8 million customers over the next five years, challenging established players in the region. However, critics questioned the value position of bineo as does not offer anything innovative and unlike Nu and Uala does not offer any yield on savings

Fintech Futures, 02/02/2024, Tyler Pathe: Mexican banking heavyweight Banorte taps SAP Fioneer to launch digital bank Bineo

 

Mexican neobank Hey announces separation from Banco Banregio in 2025

Hey Banco, a part of Regional, is progressing in its separation from Banco Banregio, having secured approval for statutes and legal constitution. The process involves obtaining operational approvals from entities such as Comisión Nacional Bancaria de Valores and Banco de México. Challenges include migrating Hey’s customers to the new entity. The goal is to start separate operations by late 2024 or early 2025. Regional plans to apply lessons from Hey to enhance its digital banking offerings in 2024 and continue expanding physical branches. Physical presence remains crucial for customer support, with Hey offering non-banking locations for advice and merchandise.

Latam Fintech Hub, 02/01/2024, Roberto Noguez: Neobanco mexicano Hey anuncia separación del Banco Banregio para el 2025

 

Kueski and Amazon partner for Buy Now Pay Later in Mexico

In Mexico, where 82% still use cash as their primary payment method, Amazon and Kueski Pay have introduced a buy now, pay later option. Available initially to select Amazon customers, it will extend to all eligible users in the coming months. Users can opt for interest-free bi-weekly payments, ranging from four to twelve installments. This service by Kueski Pay, which doesn’t require a credit card, allows payments through linked bank accounts, debit cards, or cash. Anyone over 18 can apply, and after a simple initial application, subsequent orders can be paid later. Kueski Pay, focusing on online consumer credit, has issued nearly 15 million loans to date. The partnership with Amazon caters to the rising demand for flexible payment options in Mexico.

 

Nubank Mexico and Oxxo Digital Financial Services should merge – analyst

In an article in Whitepaper.mx, Miranda’s Damian Fraser argues that Nubank Mexico and Oxxo Digital Financial services should merge, with each side perfectly complementing the other.

 

Other news

 

 

LatAm FinTech News

Colombian FinTech Finaktiva strong growth in 2023

In 2023, Colombian FinTech Finaktiva achieved a placement of over C$5.4 trillion through 150,000+ transactions, experiencing a 61% annual growth in revenues and a 34% increase in disbursements. CEO Pablo Santos attributes success to key products like factoring, the Finaktiva as a Service (FaaS) platform, and the integration of lending, supply chain finance (SCF), and cash management solutions. Finaktiva obtained recertification as a B Corp, launched a “Comité Asesor” program for female entrepreneurs, and saw Santos take on notable roles in industry organizations. Despite economic challenges, the company remains committed to supporting Colombian entrepreneurs and SMEs.

 

PayHop raises undisclosed amount from iDEXO

Brazilian FinTech PayHop, facilitating transactions and securing payments using receivables for suppliers and retailers, raised an undisclosed amount in a funding round led by TOTVS’s CVC fund iDEXO. Other participants included Experian Ventures, DOMO.VC, and Citrino Ventures. PayHop plans to use the funds to offer credit solutions based on electronic invoice duplicates, serving as confirmation for credit transactions in buy now, pay later sales. The strategic partnership with iDEXO aligns with their credit services using receivables that integrate with TOTVS’s ERPs.

Latam List, 02/02/2024, Matheus Tomé: PayHop raises undisclosed amount from iDEXO

 

Other news 

 

Global FinTech News 

YouLend secures £4bn private securitisation deal with JP Morgan

YouLend has secured additional financing for small and medium-sized enterprises (SMEs) through partnerships with global e-commerce sites, tech companies, and payment service providers like Amazon, Dojo, and eBay. The company’s AI-driven decision-making model aims to enhance financial inclusion by assessing a business’s health and increasing access to funding for underserved SMEs. A recent deal with JP Morgan is expected to reduce YouLend’s cost of capital, enabling the platform to offer competitive rates to global partners and their merchants. YouLend’s CFO highlights the company’s commitment to supporting SME growth and financial stability. The private securitisation transaction involved JP Morgan as the senior lender and Castlelake providing subordinate debt.

Fintech Futures, 01/31/2024, Cameron Emanuel-Burns: YouLend secures £4bn private securitisation deal with JP Morgan

 

B2B finance automation platform Ramp acquires Venue to revamp procurement product

Ramp, a financial technology platform, has expanded its capabilities by acquiring Venue, a company specializing in vendor relationship management. Venue’s solutions, integrated into Ramp’s suite, offer finance teams full visibility into employee and business spending. The acquisition will lead Venue’s team to work on projects such as customized intake forms, flexible approvals, purchase order management, and AI-powered vendor management. Ramp’s procurement function has undergone an overhaul, introducing features like a contract review process, accounting platforms synced with purchase orders, and collaboration tools, exclusively available to Ramp Plus users.

 

Speedinvest closes US$380M fund for European startups

Vienna-based VC firm Speedinvest has closed its fourth fund, Speedinvest 4, at €350 million ($380 million), exceeding the initial goal of €300 million ($325 million). The final €50 million came from new institutional investors, including Aviva, PwC Germany, Bitburger, ODDO BHF, and Abeille Assurances Ventures. EIF and Generali joined alongside various investors, bringing Speedinvest’s total assets under management to over €1 billion. The funds will support the global scaling of early-stage startups, with notable investments in Finres, Surfboard, Fertifa, Cylib, Neocarbon, and Fairlyne. Speedinvest is active in Europe, Africa, the Middle East, Latin America, and South Asia.

 

Other news

Fintech Futures, 01/18/2024, Tyler Pathe: India’s DMI Group snaps up BNPL fintech ZestMoney