Mexican financial technology firm Credijusto has purchased Banco Finterra, a bank that is geared toward financial offerings for small companies and the agriculture industry, according to a Tuesday (June 15) announcement.
Credijusto says it’s the first Mexican FinTech to buy a regulated bank, transforming itself into Latin America’s only neobank concentrated on working with small to medium-sized businesses (SMBs).
“Our acquisition of Banco Finterra creates the first truly digital banking platform for Mexican [SMBs],” Credijusto Co-CEO Allan Apoj Pascal said in an announcement. “This acquisition marks a major milestone in Mexico and the region, and we are proud to be revolutionizing the future of banking in Latin America.”
Credijusto Co-CEO David Poritz also noted that the firm’s purchase will allow for a “digital cross-border experience” for the companies participating in trade between the United States and Mexico, “an opportunity that we see as a major driver of growth for Credijusto.”
Banco Finterra, headquartered in Mexico City, was created in 2016, according to the announcement.
“We are very excited for this next phase of the bank and the benefits to come for Mexican businesses, leveraging Credijusto’s technology, agility and service,” Banco Finterra CEO Mark McCoy said in an announcement.
Credijusto was established in 2015 and has built out a “multi-product offering” that combines “cutting-edge software design, innovative applications of data science, and advanced internal processes,” according to the announcement.
Credijusto has landed over $400 million in equity and debt from different investors such as Credit Suisse, Goldman Sachs, New Residential Investment Corp., Point72 Ventures, QED Investors, Kaszek and John Mack.
Founder and CEO Adolfo Babatz noted in a press release that the firm has the aim of having “Clip in every business in Mexico.”
Clip, which was established in 2012, provides three payment devices — one such device is a $7 card reader that can be put on smartphones.