Business

Buffett-backed Nubank hires investment banks to lead IPO - source

2 minute read

The logo of Nubank, a Brazilian FinTech startup, is pictured at the bank's headquarters in Sao Paulo, Brazil June 19, 2018. REUTERS/Paulo Whitaker/Files

Register now for FREE unlimited access to reuters.com

Aug 9 (Reuters) - Nubank, the Brazilian digital bank backed by Warren Buffett's Berkshire Hathaway, has hired Morgan Stanley, Goldman Sachs and Citigroup to help lead its U.S. initial public offering, a source familiar with the matter said on Monday.

Reuters reported in June that Nubank had invited investment banks to pitch for roles in the upcoming IPO, which could value the company at more than $40 billion.

At that valuation, Nubank's IPO would be one of the biggest- ever stock market debuts of a South American company, putting it on par with other high-profile offerings such as that of online brokerage Robinhood Markets Inc, which went public in July.

Register now for FREE unlimited access to reuters.com

Nubank is expected to file for the IPO by the end of this year or early 2022, sources have told Reuters.

Nubank, whose legal name is Nu Pagamentos, declined to comment on the matter. Morgan Stanley, Citi and Goldman Sachs declined to comment.

In June, Nubank raised $750 million in a funding round led by Berkshire Hathaway Inc, valuing it at $30 billion.

Founded in 2013, Nubank has 40 million clients. Although most of them are in Brazil, the fintech has recently expanded to Mexico and Colombia.

Register now for FREE unlimited access to reuters.com
Reporting by Carolina Mandl in Sao Paulo and David French in New York; Editing by Dan Grebler

Our Standards: The Thomson Reuters Trust Principles.

More from Reuters