Brazilian mobile banking app PicPay has allegedly started to prepare for a US IPO, planning to raise up to USD 500 million.
In collaboration with Citigroup, Royal Bank of Canada, and Bank of America, the company’s IPO could happen by the end of the year. However, its timing may be impacted by the current government shutdown, which affects the US SEC.
More about PicPay
PicPay is a digital wallet in Brazil, specialising in products both for end-users and for businesses. Users who open a PicPay account benefit from a digital account, an account for underage individuals, a credit card, and the ability to make payments via PIX. At the same time, PicPay provides a series of loans, including a credit with vehicle guarantee. For businesses, the solution can be used as a wallet for ecommerce, driving digitalisation and boosting financial inclusion.
The SEC recently issued guidance potentially allowing more IPOs to happen. PicPay has filed for a US IPO before, in April 2021, aiming to raise USD 8 billion in valuation. Yet, it withdrew the registration two months later. In the same year, the mobile app acquired Guiabolso, a Brazilian fintech specialising in open banking services, integrating its offerings, which had USD 180.5 million of credit generated on its platform at the time, through partnerships with financial institutions. In 2024, it announced its plans for an IPO again, in collaboration with Citigroup.
Citigroup is a financial services company based in the US and the most profitable one, according to Forbes Global 2000. Some of the services provided by Citigroup include liquidity management, payments, trade and working capital services, and security solutions. In the digital realm, Citigroup has a digital-first approach, powering cross-border payment solutions and promoting the adoption of instant payments in the US.
