Brazilian fintech Nova raised US$24 million in Series A funding. Canaan led the round with Propel Venture Partners and existing investors Canary and Monashees. The company lets consumers use existing credit cards for Pix transfers and bill payments.
Funding so far
The Series A included US$4 million in secondary sales. That portion gave employees liquidity on their stock options. Nova had previously raised US$4 million from Canary and Monashees.
Company context
The company reports more than US$12 million in annualized revenue. It has about 20 employees. CEO Rafael Matos previously served as an executive at Brazilian digital bank Neon.
How the product works
Nova's wallet funds Pix transfers and boleto payments with a user's existing card. Customers can choose to pay in up to 12 installments. Nova acts as the merchant on the card transaction and sends a separate payment to the recipient.
Nova plans to connect users' existing bank accounts. It also plans to introduce a WhatsApp payment assistant that selects cards or accounts based on set instructions. The company intends to launch a merchant checkout and expand its fraud prevention and compliance teams.
Read more: axios.com