Nuvei to acquire licensed payment institution in Brazil

Canadian fintech Nuvei Corporation has agreed to acquire Pay2All, a licensed payment institution authorised by the Central Bank of Brazil.

The payment institution license will enable Nuvei to offer a range of payment services in Brazil as an Issuer of Electronic Currency. These include accepting payments, managing e-wallets and betting accounts, and participating in Brazil’s local payment systems, including processing Pagamentos Instantâneos 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.

Revenue in the Brazilian iGaming market is projected to reach US$1.97bn in 2024 and is predicted to show an annual growth rate of 15.39% between until 2029. 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.

Speaking on the deal, 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.”

Earlier this year, Nuvei launched direct local acquiring in Colombia as part of its LATAM expansion plans. The company said it 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).