Ualá acquires ABC Capital bank in Mexico

Mexico City, May 25, 2023..-

The National Banking and Securities Commission of Mexico (CNBV), with the endorsement of the Bank of Mexico (Banxico), approved the acquisition of ABC Capital bank by Ualá.

Given this approval, the Mexican bank -with over 12 years of experience in the financial sector- will become part of Ualá's ecosystem. This will allow Ualá to continue promoting financial inclusion throughout the country with the expertise of local partners. It is worth noting that last year the fintech company obtained approval for the purchase of 100% of the shares of Wilobank in Argentina.

Over the past months, Ualá and ABC Capital have worked together under a co-branding agreement (Ualá ABC) in Mexico, with the goal of digitizing financial services. Under this arrangement, the bank has launched numerous highly demanded products in the local market, such as credit cards, remittances, and personal loans, among others.

"The acquisition of ABC Capital will enable Ualá to accelerate the launch of products in Mexico, our largest growth market. Our commitment to the country is absolute, which is why we need a bank to create the most comprehensive financial ecosystem in the country, consistent with our offerings in Colombia and Argentina. This is a significant step for Ualá's regional development, as it confirms that with regulated entities, we can offer a unique and distinctive proposition that combines the best of technology with the full range of products needed for the digitalization of Latin American economies" said Pierpaolo Barbieri, founder and CEO of Ualá.

In the coming days, the change of control will be formalized, initiating an integration phase between both companies, which will allow Ualá to strengthen its value proposition in Mexico with further innovation and security, plus the market knowledge and trust that ABC Capital brings.

Mexico is the major focus of the Argentine company, which has made numerous announcements throughout the year with a focus on expansion and regional growth. In June 2022, the purchase of 100% of the shares of Wilobank, Argentina's first digital bank, was approved. Additionally, in January 2022, Ualá began operations in Colombia, backed by a Financing Company license.

With operations in Argentina, Mexico, and Colombia, Ualá is one of the fastest-growing companies in Latin America. The Company recently announced an investment of $150 million in the region for the next 18 months, continuing its path to reach over 25 million users in the next five years.