Nubank, the Brazilian challenger that surpassed the $25 million customer mark in June, raised $300 million in equity funding from five unnamed new investors, as revealed in a U.S. SEC filing, following its rapid growth past 25 million customers. Despite a net loss of BRL 95 million in H1 2020, the company reduced losses by 32% year-over-year, held BRL 19.9 billion in cash, and grew transaction volumes by 54%, though its loan default rate of 5.8% remained higher than the national average. Positioned as Latin America’s second-largest credit card issuer, Nubank continues pursuing hyper-growth, expanding into Mexico, acquiring tech firm Cognitect, and benefiting from favorable open banking reforms and substantial regional fintech investment.
Brazilian Challenger Nubank Lands $300M
