Financial System Infrastructure in Brazil Follow the Money Report¶
Opportunities for Change¶
The Brazilian Financial System Infrastructure (FSI) is undergoing significant transformation, with investment flowing into areas that promise to reshape the value chain. Based on M&A activities, venture capital and private equity investments, and the emergence of new entrants and disruptors, several key opportunities for change are receiving substantial financial backing.
The Payments Processing segment is a primary focus of investment and strategic maneuvering. The move by Banco do Brasil and Bradesco to delist Cielo S.A. represents a significant capital allocation by incumbent players. This strategic buyout aims to consolidate their control over a major acquirer, likely to enhance their strategic flexibility and facilitate closer integration of payment services within their broader financial ecosystems. This occurs in a landscape already disrupted by the rapid adoption of Pix, which itself has created a platform for numerous fintechs (e.g., Nubank, StoneCo, PagSeguro, Mercado Pago) to attract investment by offering innovative, low-cost payment solutions. These fintechs are capturing market share and driving change through technology-driven, user-centric platforms. The investment in new payment institutions and technologies facilitating instant payments indicates a strong belief in the continued evolution of this segment towards more digital, efficient, and inclusive payment methods.
Another critical area receiving investment is the Technology & Innovation layer that underpins the entire FSI. The substantial private equity investment in Matera by Warburg Pincus highlights this trend. Matera, a provider of core banking and financial technology solutions, will use this capital to enhance its offerings. This investment signals a broader appetite for "infratech" companies that provide modern, modular, and API-driven infrastructure (Banking as a Service, payment processing platforms). These technology providers (including others like Dock, QI Tech, and Grafeno) are enabling both new entrants and established institutions to innovate faster, reduce reliance on legacy systems, and build more agile financial services. Investment in this area is an investment in the foundational modernization of the financial system.
The Registry segment has also seen change driven by regulatory mandates and subsequent investment in new players. The authorization of new registrars like CERC, TAG, CRDC, and SPC Grafeno, who are competing with the established Nuclea (formerly CIP), indicates an opportunity for change in how financial assets, particularly receivables, are registered. While direct investment figures for these new registrars are not detailed in the provided reports, their emergence and regulatory approval imply capital has been committed to building their operational and technological capabilities. This creates a more competitive and potentially more efficient infrastructure for credit operations.
While not a direct investment in a company, the regulatory-driven disruption itself, exemplified by Pix, represents a significant "investment" by the Banco Central do Brasil in creating new market dynamics. This initiative has, in turn, spurred private investment in companies leveraging the Pix ecosystem. Similarly, changes in the regulatory framework for asset registration have opened the door for new registry players.
In summary, the opportunities for change currently receiving investment in Brazil's FSI are concentrated in: * Modernizing Payments Processing: Driven by both incumbents seeking to consolidate and innovate (e.g., Cielo delisting) and fintechs leveraging new technologies and platforms like Pix. * Upgrading Core Financial Technology: Significant capital is flowing into "infratech" providers that offer the foundational systems and tools for a more digital and efficient financial sector. * Enhancing and Diversifying Registry Infrastructure: Investment is supporting new entrants in the asset registration space, promoting competition and efficiency in credit markets.
These investments collectively point towards a future FSI in Brazil that is more technologically advanced, competitive, and potentially more inclusive.
Key Findings¶
| Value Chain Stage Affected | Investment/M&A Movement | Type of Investment/Movement | Key Opportunity for Change Highlighted |
|---|---|---|---|
| Payments Processing | Delisting of Cielo by Banco do Brasil and Bradesco | Strategic Corporate Buyout | Incumbents investing to consolidate and strategically reposition within the evolving payments landscape; potential for closer integration with banking ecosystems. |
| Payments Processing | Growth of Fintechs (Nubank, StoneCo, PagSeguro, etc.) leveraging Pix | Venture Capital / Market Growth | New entrants leveraging technology and new payment rails (Pix) to offer innovative, low-cost solutions, driving competition and user adoption. |
| Technology & Innovation | Investment in Matera by Warburg Pincus | Private Equity | Significant capital injection into "infratech" to modernize core banking and financial technology, enabling broader FSI innovation and efficiency. |
| Technology & Innovation | Emergence of "Infratech" providers (Dock, QI Tech, Grafeno) | Market Development / VC | Development of modular, API-based financial infrastructure, enabling faster service deployment and innovation for various FSI players. |
| Registry | Authorization of New Registrars (CERC, TAG, CRDC, SPC Grafeno) | Regulatory Enablement / Investment | Introduction of competition and specialized services in asset registration, particularly for receivables, enhancing credit market infrastructure. |
| Payments Processing | Implementation and adoption of Pix by BCB | Regulatory-driven Infrastructure | Creation of a new, efficient payment rail fostering innovation and competition among payment service providers. |
References¶
- Cielo tem melhora gradual dos resultados, mas irá sair da B3. Entenda. https://nordnews.com.br/cielo-tem-melhora-gradual-dos-resultados-mas-ira-sair-da-b3-entenda/
- Matera recebe aporte de R$ 500 mi da Warburg Pincus - InfoMoney. https://www.infomoney.com.br/negocios/matera-recebe-aporte-de-r-500-mi-da-warburg-pincus/
- Matera recebe investimento de quase R$ 500 milhões do Warburg Pincus - TI Inside. https://tiinside.com.br/17/07/2024/matera-recebe-investimento-de-quase-r-500-milhoes-do-warburg-pincus/
- Matera levanta US$ 100M com Warburg Pincus para chegar no "core perfeito" - Startups. https://startups.com.br/materias/matera-levanta-us-100m-com-warburg-pincus/
- Matera vende participação ao Warburg Pincus por R$ 500 milhões - Finsiders Brasil. https://www.finsiders.com.br/noticias/fintechs/matera-vende-participacao-ao-warburg-pincus-por-r-500-milhoes/
- Banco Central do Brasil. Infraestruturas do Mercado Financeiro. https://www.bcb.gov.br/estabilidadefinanceira/infraestruturasmercado
- Finsiders Brasil. BC aprova nova registradora SPC Grafeno; Adyen e Zapay são autorizadas como IP. https://www.finsiders.com.br/noticias/regulacao/bc-aprova-nova-registradora-spc-grafeno-adyen-e-zapay-sa%C3%B5-autorizadas-como-ip/
- FEBRABAN Notícias. Pix é o meio de pagamento mais usado no Brasil em 2023; TED lidera em valores transacionados. https://quantoplan.febraban.org.br/noticias/pix-e-o-meio-de-pagamento-mais-usado-no-brasil-em-2023-ted-lidera-em-valores-transacionados
- CERC. Infraestruturas do Mercado Financeiro (IMF). https://cerc.inf.br/sobre-imf/
- CRDC. Registradoras de Recebíveis – O Que São e Como Impactam Seu Negócio. https://crdc.com.br/blog/registradoras-de-recebiveis-o-que-sao-e-como-impactam-seu-negocio/
- Destrava Aí. Conheça 5 registradoras de recebíveis autorizadas pelo Banco Central. https://blog.destrava.ai/registradoras-de-recebiveis/
- Dock. Infraestrutura financeira: o que é, vantagens e tendências. https://www.dock.tech/blog/infraestrutura-financeira-o-que-e/
- QI Tech. Infraestrutura financeira: o que e, vantagens e tendencias. https://blog.qitech.app/infraestrutura-financeira-o-que-e/
- Nubank dobra lucro em 2024, para US$ 1,97 bilhão | Radar Econômico - VEJA. https://veja.abril.com.br/economia/nubank-dobra-lucro-em-2024-para-us-197-bilhao
- Resultado Stone 2T 2024: crescimento forte e grande evolução em crédito e soluções de banking. https://www.stone.com.br/imprensa/noticias/resultado-stone-2t-2024-crescimento-forte-e-grande-evolucao-em-credito-e-solucoes-de-banking/
- Mercado Pago avança e já supera lucro de Stone e PagBank em adquirência, diz Itaú BBA. https://neofeed.com.br/pay/mercado-pago-avanca-e-ja-supera-lucro-de-stone-e-pagbank-em-adquirencia-diz-itau-bba/