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Brazilian fintech PicPay files for IPO on Nasdaq

The company said it plans to raise an undisclosed amount of money to fund its growth strategy, which may include M&As

PicPay IPO
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  • PicPay posted total revenues of BRL 390 million in 2020 and a loss of BRL 804 million ($144.37 million);
  • PicPay is controlled by group J&F Investimentos SA, a holding company owned by Brazilian billionaire brothers Wesley and Jose Antonio Batista.

Brazilian financial startup PicPay has filed with the U.S. Securities and Exchange Commission for an initial public offering on Nasdaq, according to a Wednesday filing. BTG Pactual, Bradesco BBI, Barclays and Santander will manage the IPO.

Founded in 2012, payments wallet PicPay is controlled by group J&F Investimentos SA, a holding company owned by Brazilian billionaire brothers Wesley and Jose Antonio Batista, who also own meatpacker behemoth JBS SA.

With 28.4 million active users, PicPay posted total revenues of BRL 390 million in 2020 and a loss of BRL 804 million ($144.37 million).

READ ALSO: The next steps of PicPay, the largest digital wallet in Latin America

The loss was mainly due to high selling expenses, which included roughly 622 million reais in payments related to the brand promotion and development, PicPay said, adding payments were settled as a capital increase.

In March, however, J&F entered an agreement to transfer the trademark PicPay to the company for no amount paid.

READ ALSO: Brazil’s neobank Inter chooses marketplace as key operation to open doors to international expansion

PicPay also has agreements with Banco Original, a bank controlled by J&F, related to cards and revolving credit lines.

The company, which has Jose Antonio Batista as CEO, said it plans to raise an undisclosed amount of money to fund its growth strategy, which may include M&As.

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