Evertec poised to expand into Brazil with Sinqia acquisition
SAN JUAN, PUERTO RICO — In a significant development, Evertec, a transaction processing firm in Latin America and the Caribbean, has made an agreement to acquire Sinqia, a Brazilian frontrunner in financial services software solutions. Valued at R$27.19 (US$5.74) per share, this acquisition marks Evertec’s strategic pursuit of expansion and diversification.
Mac Schuessler, Evertec’s CEO, pointed out the mutual benefits of the partnership, “We believe that our digital payments engine together with Sinqia’s banking and financial software platform will position us as the leading fintech company in Latin America.“
The buyout, which has received full approval from both Evertec’s and Sinqia’s boards of directors, is slated for completion in late 2023. Financing the acquisition will be achieved using both cash on hand and a secured funding of US$600 million.
Bernardo Gomes, Sinqia’s CEO, voiced his anticipation for the future partnership. “Combining our companies will enhance services for both of our growing customer bases as well as provide opportunities for our team members as Evertec continues to expand in attractive markets with strong macro tailwinds,” said Gomes.
The alliance is expected to leverage the synergies between Evertec’s payment solutions and Sinqia’s software offerings. This positions the new entity as a potentially dominant player in the Latin American fintech market. As part of this deal, Evertec also plans to mitigate the impact of newly issued shares by augmenting its share repurchase program.
