Matera, a leading banking software provider, announced a $100 million investment from Warburg Pincus. This funding will expand the company into the North American market and further develop its products.
Launched in Brazil, Matera is a trusted technology provider of core banking, instant payment, and QR code payment solutions for financial institutions, backed by over 30 years of experience in providing sophisticated software solutions. With offices in the US and Brazil, the company’s core offering is a mission-critical suite of modern technology solutions used by over 250 banks, credit unions, and financial institutions globally, including two of the top three banks and over one-third of all banks in Brazil. This funding comes at a moment of significant growth for Matera; the company has grown 4x since 2020, achieving $77 million in revenue for 2023 while maintaining a strong profitability profile.
Matera is a pioneer provider of next-generation software enabling real-time payments in Brazil, led by an innovative central bank agenda. And in Brazil, Central Banks’ real-time payments rails (PIX) already account for over 40% of all electronic transactions in the country. Matera’s solution alone processes over 5 billion transactions a year. Nearly half of those are initiated by scanning a QR Code.
The company also expanded into North America with solutions centered around the same principles, leveraging its multi-decade expertise in banking software. Matera’s flagship offering for North America is called Digital Twin, a next-generation ledger built to work on top of the bank’s existing core platforms to enable them to solve two of their biggest pains: core banking modernization and creating real-time digital user experiences despite an inflexible legacy infrastructure. And they are also offering their QR Code payments solution that enables billers and merchants to present QR Codes to be paid by mobile phone. It also enables consumers to generate QR Codes from a mobile app to make payments.
Warburg Pincus is among the most active growth investors in enterprise technology and cloud-based platforms. Since its founding, it has invested $33+ billion in technology companies and $16+ billion in financial services.
Bank of America and Freitas Leite advised Matera in this deal.
KEY QUOTES:
“PIX set the standard for the digital finance revolution. At Matera, we know first-hand the pressure for banks to modernize their infrastructure to keep up with innovative new payment methods such as instant payments and pay-by-bank. We’re honored to leverage our PIX expertise with proven solutions to help financial institutions across North America keep pace with their customers’ digital demands.”
– Carlos Netto, Co-Founder & CEO of Matera
“We have been closely tracking Matera as PIX emerged in Brazil and have seen first-hand their ability to innovate and deliver world-class, mission-critical software that is both scalable and consistent. We now look forward to expanding this expertise into North America where we see immense opportunity for Digital Twin to help banks seamlessly modernize their core systems. We are excited to partner with Carlos and the Matera team in their next phase of growth.”
– Henrique Muramoto, Managing Director at Warburg Pincus
