UAE Mubadala has invested $106.6 million in Brazilian Fintech platform Cerc. Cerc the receivables exchange was founded in 2015 and focuses on providing an online platform for factoring deals, acting as an alternative to notaries, to help the owners of the receivables use them as collateral to get cheaper credit.
In early 2022, Cerc announced that it was setting to raise about $100 million from VC funds as the financial tech company prepared for an initial public offering (IPO).
At the time its founder and chairman told Reuters, “We are negotiating funding with up to five fund investors to invest in new businesses,” Cerc’s Marcelo Maziero said. “We should close in 2022 ready for an IPO, we are ready for that.”
Maziero’s comments came at a time when Cerc’s business was increasing rapidly, supported in part by changes introduced by Brazil’s central bank in June 2021 making it mandatory to register credit card receivables on electronic platforms.
Maziero added, “The regulatory change helped boost the company’s revenue 10-fold and the sector is expected to grow again in 2022, albeit at a slower pace.”
At the same time, Cerc made progress in other businesses, such as its clearing house and central depository for assets which should be operational by the end of 2022.
Mubadala is a sovereign investor managing a diverse portfolio of assets in the UAE and abroad. It currently has $284 billion worth of assets under management.
