FinTech M&A is still alive as Mastercard and Visa eye $1 billion deal for Brazil's Pismo 🤑; So sustainable investing isn’t the future? 🤔; Impact-as-a-Service 👀
FinTech is Eating the World, 30 March
Hey Everyone,
Good morning! Today we’re looking at the FinTech M&A which is still alive (why Mastercard & Visa eye $1B deal for Brazil's Pismo and how this stacks in perspective), question whether sustainable investing is still the future (it’s not easy out there), and look at what is Impact-as-a-Service (this one is very interesting!). Let’s jump straight into the cool stuff 🌶
FinTech M&A is still alive as Mastercard and Visa eye $1 billion deal for Brazil's Pismo 🤑
The news 🗞 Payment giants Mastercard MA 0.00%↑ and Visa V 0.00%↑ are among the suitors in talks to buy Brazilian FinTech Pismo for around $1 billion, as per Bloomberg.
Sao Paulo-based Pismo has called in Goldman Sachs GS 0.00%↑ to work on a possible sale, with the US card giants, an unnamed bank, and private equity funds all showing interest in a deal, says Bloomberg citing sources.
More on this 👉 According to Valor Economico’s Pipeline, Visa submitted an initial offer of $1 billion which was rejected by Pismo, following which Visa upped its bid to $1.4 billion.
No agreement has been reached with any party and talks could yet fall through.
The USP 🥊 Founded in 2016 and based in São Paulo, Pismo offers a cloud-native platform for payment and banking services, including digital banking, core banking, cloud computing, card-issuing, and digital wallets.
In October 2021, the firm raised $108 million in a Series B funding round from Amazon, SoftBank, and Accel in a bid to expand its operations across Asia.
Why it matters? 🤔 First and foremost, this deal would be a big win for the card giants, especially in their expansion across LatAm. On a macro level, it also shows that payments M&A activity remains alive and well.
Here’s more on this + the takeaway (& a look at Visa/MC's latest numbers that back their current strategy):