Nuvei Corporation has entered into a definitive agreement to acquire Pay2All Instituição de Pagamento Ltda. in a strategic milestone to enhance Nuvei’s capabilities in the Brazilian market, reinforcing its commitment to the Latin American (LATAM) region.
With the acquisition of the licensed Payment Institution authorized by the Central Bank of Brazil, the Canadian fintech company automatically secures a regulatory compliant position to operate in the largest LATAM economy.
Nuvei becomes an Issuer of Electronic Currency in Brazil
The Payment Institution license will enable Nuvei to offer comprehensive payment services in Brazil as an Issuer of Electronic Currency. These include accepting payments, managing e-wallets and betting accounts, and participating in all of Brazil’s local payment systems, including processing Pagamentos Instantâneos (“PIX”) transactions.
A Payment Institution license is required to provide transactional services for authorized operators in the newly regulated market of sports betting and online gaming, in accordance with Law No. 14.790/23. Brazil’s iGaming market presents significant growth opportunities for Nuvei. Revenue in the Brazilian iGaming market is projected to reach US$1.97bn in 2024 and is predicted to show an annual growth rate (CAGR 2024-2029) of 15.39%, resulting in a projected market volume of US$4.03bn by 2029.[1]
By securing a Payment Institution license, Nuvei will be well positioned as a payment partner of choice to the iGaming and broader eCommerce ecosystems in Brazil. The proposed transaction is subject to customary closing conditions, including receipt of key regulatory approvals by the Central Bank of Brazil and local antitrust authorities.
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Philip Fayer, Nuvei Chair and CEO, said: “Securing a Payment Institution license in Brazil has been a top priority, and will mark another significant milestone in our global expansion strategy. The proposed transaction not only strengthens our presence in LATAM but also demonstrates our commitment to providing fully localized and modern payment solutions to businesses in Brazil. We’re excited to offer our full suite of services to help drive growth for the rapidly-growing eCommerce and iGaming operators in this dynamic market.”
Nuvei offering local acquiring service in Colombia and Mexico
In 2024, Nuvei already signaled its commitment to growth in LATAM through its announcement that it was the first global payments company to offer direct local acquiring in Colombia.
In addition to securing its impending Payment Institution license in Brazil, Nuvei is also currently implementing a local acquiring service in Mexico, leading to the fulfilment of processing requirements to become a direct acquirer under the Comisión Nacional Bancaria y de Valores (CNBV). Further strategic expansion in LATAM is scheduled to follow.
Nuvei tapped Mastercard for off-ramping solution
Nuvei recently partnered with Mastercard to launch a new off-ramping solution that enables consumers in Europe to seamlessly convert their Digital Assets, including cryptocurrencies, into traditional fiat currency via debit, credit, and prepaid cards.
The off-ramping solution provides a bridge between digital and traditional finance and can be integrated directly into Nuvei’s modular payment platform. Assets can then be spent via Mastercard’s global network.
Consumers can seamlessly convert a wide range of supported Digital Assets into fiat currency, transfer the funds to their eligible Mastercard in near real-time, and no longer requiring third-party exchanges or money service businesses.
Nuvei secured in-principle approval in UAE
Nuvei recently secured an in-principle approval for a Retail Services Category II License from the Central Bank of the UAE. A strategic expansion into the United Arab Emirates (UAE) comes as the jurisdiction increasingly establishes itself as the bridge between the West and East at a time of heightened geopolitical tensions.
The UAE’s eCommerce sector is projected to surpass $10 billion in revenue by 2029 with an annual growth rate (CAGR 2024-2029) of approximately 9%.
Earlier this year, Nuvei secured a Major Payment Institution (MPI) license from the Monetary Authority of Singapore.
