October 17, 2019 |
Brazil’s Banco Inter has seen its shares more than triple since an initial public offering last year. In July, the former mortgage lender turned online bank held a follow-on offering raising some 1.25 billion reais. SoftBank snapped up most of the additional equity offering, taking an 8 % stake in the online lender, which offers digital accounts, loans and investments and brokerage services.
Banco Inter plans to use the proceeds to grow its credit operations and acquire companies.
The equity sale came as financial technology companies in Brazil and throughout Latin America attract growing volumes of investment. Banco Inter is a rival to digital bank Nubank, which is now valued at $10 billion
Banco Inter’s president is upbeat about the future as he taps Brazil’s vast unbanked and under-banked market