Credijusto acquires Banco Finterra, becomes the first Mexican fintech to acquire a Bank

By Pavithra R

Mexican FinTech Credijusto, a leading technology-enabled small business lender, has announced the acquisition of Banco Finterra, a Mexico City-based bank that specializes in financing solutions for small businesses and the agriculture sector.

The announcement makes Credijusto the first Mexican fintech to acquire a regulated bank, and becoming the only neobank in Latin America focused on serving small and medium-sized enterprises (SMEs). The company’s expansion reflects a global trend of fintech firms acquiring regulated banks to enable more diversified product offerings. The acquisition doubles the size of its business and accelerates Credijusto’s growth.

“Our acquisition of Banco Finterra creates the first truly digital banking platform for Mexican SMEs. This acquisition marks a major milestone in Mexico and the region, and we are proud to be revolutionizing the future of banking in Latin America,” said Allan Apoj, Co-CEO of Credijusto.

With the addition of Banco Finterra, Credijusto is positioned to become the largest financial services provider to small businesses in Mexico as well as the leader in cross-border banking solutions between the U.S. and Mexico.

The combined businesses have lent over $2 bn to underserved SMEs, while Credijusto has raised more than $400 mn in equity and debt from a leading roster of global investors including Goldman Sachs, Credit Suisse, Point72 Ventures, New Residential Investment Corp., Kaszek, QED Investors and John Mack.

Founded in 2015, Credijusto is a FinTech company focused on lending to the underserved and rapidly growing small and medium-sized enterprise (SME) market in Mexico. It has developed a multi-product offering using a combination of cutting-edge software design, innovative applications of data science, and advanced internal processes.  Since its founding, Credijusto has sought to address the market inefficiencies largely present throughout the Mexican banking system. The FinTech promotes financial inclusion by providing affordable asset-backed financing products.

“By combining our proprietary software and data science expertise with Finterra’s banking capabilities, we are building a next generation financial services business. Our acquisition will also enable a digital cross-border experience to the thousands of businesses engaged in commerce between the U.S. and Mexico, an opportunity that we see as a major driver of growth for Credijusto,” said David Poritz, Co-CEO of Credijusto.