albo, the neobank in Mexico, has confirmed the purchase of the fintech company delt.ai, specializing in financial services for small and medium-sized enterprises (SMEs), for USD $20 million. With this strategic acquisition, albo strengthened its position in the Mexican financial sector, becoming the only neobank to offer debit and credit products for consumers and SMEs.
delt.ai, a firm with experience in Mexico and part of Y-Combinator, has conducted over 130,000 transactions, granting over USD $90 million in loans and credit lines. The integration of delt.ai enriches albo’s offering, adding business loans, credit cards, and a financial platform for SMEs to its already extensive catalog that includes commission-free debit accounts, personal loans, crypto trading, and more.
delt.ai’s CEO, José de la Luz, will join albo as Chief Operating Officer (COO), contributing to the strategic vision of offering high-quality financial products that promote healthy financial habits. The transition is being managed to minimize disruptions to customers, and the acquisition is expected to provide significant value, creating a more robust and complete offering in the Mexican market.
The Bank of Mexico reveals that 72% of Mexican adults have access to a smartphone, and 51% conduct financial transactions online. This indicates that digital financial services are experiencing a period of growth. Furthermore, the article notes that 74% of young Mexicans are expected to entrust their money to a fintech.
The analytics firm highlights that in 2022, the most significant growth in the number of sessions of fintech applications occurred in Latin America, with a 54% increase compared to the previous year. This growth was higher than 40% in EMEA (Europe, the Middle East, and Africa) and 30% in the Asia-Pacific region.
This acquisition comes when albo has shown favorable growth, reaching 2 million users and annual transactions exceeding USD $5 billion. The company projects continued growth and a trajectory toward positive cash flow profitability by 2024, solidifying its position as a regional leader.
