View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
May 25, 2021

Payments company StoneCo to invest $471m in Banco Inter

By Shalini mani

Payment firm StoneCo has inked a definitive investment agreement with Brazilian digital lender Banco Inter.

Free Report
img

How attractive are current investment opportunities in Europe?

Europe has been identified as one of the most favorable regions for investors, seeing high investment activity in the past year. Most of these investments have been through Debt Offering, valued at close to $700 billion. The region has provided attractive investments in a diverse set of companies. Companies who tend to major themes such Digital Media, Cloud, Artificial Intelligence, E-commerce, and Big Data are recording the highest number of deals, with Digital Media recording close to 2,000 deals. However, GlobalData’s whitepaper offers a full view of the market, analyzing less successful or attractive points of investment as well, examining statistics on Equity Offering investments and PE/VC deals. Understand how government agencies for economies around the world use GlobalData Explorer to:  
  • Track the M&A and Capital Raising volumes into their target market
  • Identify the top sectors in the target market attracting the investments
  • For any investment segment, identify the top Investors inside and outside the target economy that are already investing in the Segment
  • Assess and showcase the growth potential for various Industries in the target economy
Don’t miss out on key market insights that can help optimize your next investment – read the report now.
by GlobalData
Enter your details here to receive your free Report.

Under the agreement, Stone will invest up to $471m (BRL 2.5bn) in the digital bank. The firm is expected to own a stake of up to 4.99% in the digital lender after the investment.

The investment will be made through a Follow-On Public Offering conducted by Banco Inter, in which Stone will act as a cornerstone investor at a fixed price of $10.87 (BRL57.84) per share.

The firm will have the right of first refusal in the case of change of control of Banco Inter, for a period of six years. In addition, it will have the right to join the bank’s board of directors with one seat out of nine.

Commercial Partnerships

SoftBank-backed Banco Inter offers a suite of banking, marketplace, credit, insurance, investments products and services to individuals. It had 10.2 million users as of 31 March 2021.

Stone said it is working with Inter to explore and engage in partnership opportunities aimed at bringing Inter consumers to Stone merchants.

Both parties are also looking at ways to maximise the value proposition for both Inter’s consumer and Stone’s seller ecosystems.

This includes plans for connecting Stone merchants to InterShop with the aim of promoting the digitisation across Stone merchant base and offering an omnichannel journey for Intershop consumers.

The companies are also planning to facilitate a seamless mobile payment experience between Inter consumers and Stone merchants, online and offline.

They also plan to combine their respective product and payment technology capabilities to value proposition to Stone and Inter client base.

Other plans include utilising Inter’s funding capabilities to improve efficiency in Stone’s working capital offerings and providing Inter clients access to new investment opportunities in fixed income, through the offering of FIDCs.

Meanwhile, Banco Inter has separately announced plans for a Nasdaq listing. It intends to list its shares on Nasdaq as Inter Platform.

Free Report
img

How attractive are current investment opportunities in Europe?

Europe has been identified as one of the most favorable regions for investors, seeing high investment activity in the past year. Most of these investments have been through Debt Offering, valued at close to $700 billion. The region has provided attractive investments in a diverse set of companies. Companies who tend to major themes such Digital Media, Cloud, Artificial Intelligence, E-commerce, and Big Data are recording the highest number of deals, with Digital Media recording close to 2,000 deals. However, GlobalData’s whitepaper offers a full view of the market, analyzing less successful or attractive points of investment as well, examining statistics on Equity Offering investments and PE/VC deals. Understand how government agencies for economies around the world use GlobalData Explorer to:  
  • Track the M&A and Capital Raising volumes into their target market
  • Identify the top sectors in the target market attracting the investments
  • For any investment segment, identify the top Investors inside and outside the target economy that are already investing in the Segment
  • Assess and showcase the growth potential for various Industries in the target economy
Don’t miss out on key market insights that can help optimize your next investment – read the report now.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Electronic Payments International