Japan’s Softbank Group Corp is in talks to invest in Brazilian financial technology company Nubank, a source said.
“Talks are in initial stage and final values have not yet been determined,” the source said, requesting anonymity to disclose private talks.
Financial blog Vox reported on Wednesday that Softbank may invest up to $1 billion in Nubank, valuing the firm at up to $10 billion.
Nubank said in a statement it is “always considering opportunities to raise funds,” but declined to comment on talks with Softbank. Since it was founded five years ago, Nubank has already received $400 million in seven financing rounds that included investors such as Sequoia Capital, Kaszek Ventures, Tiger Global Management and Tencent.
A new financing round could accelerate Nubank’s plans to expand outside Brazil, where it already has 8.5 million clients. Nubank announced last month the fintech will start to operate in Mexico.
Softbank earlier this year launched a $5 billion fund to invest in startups in Latin America. Last month, it spent $1 billion in delivery app Rappi.
Separately, Brazil logistics firm Loggi said in a statement on Thursday that Softbank is among investors in a $150 million financing round. (Reporting by Aluisio Alves; Writing by Tatiana Bautzer; Editing by Dan Grebler)