Ualá raises $350M in new investment round, led by SoftBank and Tencent

Ualá, the Argentine fintech, announced a new $350 million investment round, valuing the company at $2.45 billion on a post-money basis.

Buenos Aires, Argentina, August 13th, 2021.- Ualá, the Argentine fintech, announced a new $350 million investment round, valuing the company at $2.45 billion on a post-money basis. The Series D was led by SoftBank Latin America Fund, the technology fund focused on the Latin American market, and affiliates of Tencent, a leading China-based technology company, with participation from other top tier global investors. Based on publicly available data, this round represents the largest private fundraising round ever by an Argentinian company, emphasizing Ualá's exponential growth and leadership in Latin America.

Participants in the round included existing investors, such as funds managed by Soros Fund Management LLC, funds managed by affiliates of Goldman Sachs Asset Management, L.P., Ribbit Capital, Greyhound Capital, Monashees, and Endeavor Catalyst. Ualá also welcomed new funds, such as D1 Capital Partners and 166 2nd, alongside angel investors such as Jacqueline Reses and Isaac Lee. Hughes Hubbard & Reed LLP served as legal counsel to Ualá in its Series D financing round, and in all previous fundraisings.

With more than 3.5 million cards issued in the region and less than a year after successfully launching operations in the Mexican market, Ualá developed a complete financial ecosystem including universal accounts, a global Mastercard card, bill payment options, investment products, personal loans, installments (BNPL), and insurance. It has also launched merchant acquiring, Ualá Bis, a solution for entrepreneurs and merchants that allows selling through a payment link or mobile point-of-sales (mPOS).

This funding will allow Ualá to further accelerate its Latin American growth plans, and attract world class talent. The company currently plans to end 2021 with 1,500 employees and to develop new business verticals, both in Argentina and Mexico. "We are most impressed by Ualá's ambition and execution. Our investment will propel the next stage of their vision, furthering a regional ecosystem that can make financial services more accessible and transparent across LatAm,” said Marcelo Claure, CEO of SoftBank Group International and COO of SoftBank Group.

"Less than 4 years since launch, today marks a historic milestone for both Ualá and Argentina. We are honored to attract some of the world’s best investors to focus on financial inclusion and innovation in Latin America, a mission that drives our every move. These funds will propel our ambitions to provide simpler, fairer, and more transparent financial services for all in both Argentina and Mexico," said Pierpaolo Barbieri, founder and CEO of Ualá.

Ualá’s growth in numbers:

More than 1,000 full time employees, currently planning to reach 1,500 by the end of 2021.
More than 3.5 million cards issued in less than 4 years.
>22% of the population aged 18-25 in Argentina have a Ualá card.
Over one million users invest in the mutual fund available on the Ualá app, the second largest mutual fund in Argentina in number of participants.
More than 230,000 loans granted.
Just 8 months after its launch, monthly transaction volume on Ualá Bis grew 27-fold since its first full month of operation.

About the company´s user profile:

44% identify as women and 56% identify as men.
55% of its users are between 18 and 30 years old.
65% had no credit history prior to downloading the app.

Previous Capital Raisings:

$150M in Series C, led by SoftBank Latin America Fund and Tencent, with participation from Endeavor Catalyst and other original existing investors: such as funds managed by affiliates of Goldman Sachs Asset Management, L.P., funds managed by Soros Fund Management LLC, Monashees, Ribbit Capital, and Jefferies LLC (November, 2019).
Tencent invested an undisclosed amount in April 2019.
$34M in Series B, led by funds managed by affiliates of Goldman Sachs Asset Management, L.P. with participation from Ribbit Capital and Monashees (September, 2018).
$10M in Series A, led by funds managed by Soros Fund Management LLC, with participation from Jefferies LLC, Point72 Ventures, Greyhound Capital and Kevin Ryan, among others (January, 2018).
The description of the transactions and other information contained herein (collectively, this “communication”) includes “forward-looking statements” within the meaning of the U.S. federal securities laws, and also contains certain financial forecasts and projections. All statements other than statements of historical fact contained in this communication, including, but not limited to, statements as to future results of operations and financial position, planned products and services, business strategy and plans, objectives of management for future operations, market size and growth opportunities, competitive position, technological and market trends and the potential benefits and expectations related to the terms and timing of the Series D fundraising round, are forward-looking statements. All forward-looking statements are based upon estimates and forecasts and reflect the views, assumptions, expectations, and opinions of Ualá, which are all subject to change due to various factors. Any such estimates, assumptions, expectations, forecasts, views or opinions, whether or not identified in this communication, should be regarded as indicative, preliminary and for illustrative purposes only and should not be relied upon as being necessarily indicative of future results. The forward-looking statements contained in this communication are subject to a number of factors, risks and uncertainties. If any of these risks materialize or Ualá’s assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. Forward-looking statements speak only as of the date they are made. Ualá anticipates that subsequent events and developments may cause its assessments to change.