At a time of high volatility in the stock market, the Nubank (NUBR33) consider acquisitions from other fintechs, according to the company’s founder and CEO, David Vélez.
The executive predicted “several acquisitions” in the sector and commented that some of the opportunities that Nubank evaluated 12 months ago “are coming back with a 70% discount”.
“We will look to do more mergers and acquisitions,” Vélez told the Financial Times this week.
The Colombian pointed out the proliferation of “about 40 different digital banks” in Brazil and said that “there will probably be some consolidation” among fintechs.
“Consumers will not have 20 different payment apps on their smartphones. It’s just too complex. You can have three or four, not 20,” he told the newspaper.
Nubank and the crises
At the forefront of a fintech boom in Latin America, Nubank went public last year in New York and since then it has melted more than 60% on the stock market.
According to the company’s CEO, in the past, American investors have asked him: “You grew up very well in the good times, what will happen in the bad times?”
“This is the wrong question to ask,” said the businessman, citing the recurring scenario of economic crisis. “Brazil has always had bad times”.
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