According to the latest reports, Nubank has successfully raised $500 million. The reports confirm that it has managed to generate such a significant figure from Berkshire Hathaway. Nubank is known as one of the most prominent and popular digital banks based in Brazil.
On the other hand, Berkshire Hathaway exists as a holding company that is multinational. Berkshire Hathaway Company is reportedly owned and run by Warren Buffett, who is one of the oldest and top billionaires.
The announcement was made by Nubank on Tuesday, June 8, confirming the $500 million generations of the funds. The digital banking firm has confirmed where it would be using the $500 million funds it has received from Berkshire Hathaway.
The digital bank has revealed that it had always wanted to expand its services to other parts of the world. However, the firm had very low funds to back its international expansion. Now that the company has $500 million in funds, it is planning to go for international expansion.
Nubank has shared its intentions of expanding its business and offering its products to a wider public and market. Therefore, the company is aiming to take its services and expansions to the next level.
Nubank is constantly aiming to expand its services all over the world and it was already expanding its markets within Latin America. It was just recently when Nubank had expanded its services in Colombia.
The Nubank executives stated that they are well aware of the fact that they need to be on good terms with large investors in other countries to expand their services.
Therefore, Nubank is in the process of making deals and establishing better contacts with executives from major tech firms. At present, Nubank is providing its services in three Latin American countries. The names of the countries include Colombia, Mexico, and Brazil.
Nubank claims that it has a huge client base in all three countries and currently has more than 40 million users. The company has revealed that it is aiming to increase its user base to all-time highs in the upcoming years.
At one point, the company claimed that it aims to compete with major online payments firm, PayPal. However, it is currently a long way from doing that, as it needs to increase its user base. Nubank claimed it needs to hit at least a 100 million user mark before it can start competing with PayPal.
David Velez, the Chief Executive Officer at Nubank has talked about receiving the funds and the company’s expansion. Velez stated that the funding it received from Berkshire Hathaway would go a long way. Their aim is to introduce democracy in the financial services and the public must be able to access them freely.