Webrock Ventures AB (“Webrock” or the “Company”) is pleased to announce that its portfolio company, Brazil Finance Group (“BFG”), has successfully raised SEK 30.6 million (USD 2.8 million) in a funding round led by a Brazilian fintech unicorn and hedge fund Atlant Fonder. The transaction values BFG at a pre-money valuation of SEK 400 million (USD 36.4 million), representing an increase of SEK 39.2 million compared to the valuation reported in Webrock’s Interim Report for the first nine months of 2024, leading to a SEK 17.1 million increase in the Company’s net asset value. BFG’s post-money valuation amounts to SEK 430.6 million (USD 39.1 million).
“As the founders and largest shareholder with 44 percent ownership in Brazil Finance Group (pre money), we are delighted with the positive reception and interest from reputable investors. BFG has made remarkable strides in building substantial credit portfolios that deliver stable, risk-adjusted returns and reliable cash flows. The rapid growth of its subsidiaries, Lara and Qred, exemplifies the success of our business model — partnering with leading Nordic tech companies to build and scale innovative companies in Brazil”, says Joakim Pops, CEO and Co-founder of Webrock Ventures.
With the new SEK 30.6 million (USD 2.8 million) investment from prominent investors, BFG is poised to accelerate growth in healthcare and SME financing, driving innovation tailored to the needs of Brazil’s 215 million residents.
The investment also unlocks strategic advantages, with valuable synergies emerging from collaboration with the Brazilian fintech unicorn participating in the round. These synergies are expected to significantly enhance BFG’s ability to scale its operations and further strengthen its efficiency in delivering innovative, high-impact financial solutions.
“We are impressed by BFG’s ability to create significant value within Brazil’s financial ecosystem and look forward to contributing to their continued success. Their innovative solutions in financing for healthcare and small and medium-sized enterprises align well with Atlant Fonder’s ambition to support growth in digital businesses with high scalability”, says Nikos Georgelis, Portfolio Manager, Atlant Fonder
BFG’s updated valuation reflects substantial operational achievements in Q3 2024.
Lara, BFG’s healthcare point-of-sale credit platform, saw an 80 percent surge in loan originations compared to Q2 2024, fueled by a 23 percent expansion in its clinic network, now reaching 1.000 clinics. This growth drove loan applications to approximately SEK 1.091 million (USD 99 million), up from SEK 867 million (USD 79 million) in Q2 2024.
Qred, the group’s SME lending firm, achieved 59 percent year-over-year revenue growth, with record contract volumes of approximately SEK 28 million (USD 2.5 million), marking a 36 percent increase in new contract volume.
About Brazil Finance Group (BFG)
Brazil Finance Group (BFG) is a fintech enterprise dedicated to empowering underserved markets in Brazil with innovative and accessible financial solutions. The company’s mission is to build industry-leading companies that manage large credit portfolios, delivering superior risk-adjusted returns, stable cash flows, and long-term dividends to shareholders. BFG leverages cutting-edge financial technology to disrupt traditional financial services by offering sector-specific, technology-driven solutions that outperform conventional credit institutions.
BFG operates two independently run fintech companies – Lara and Qred Brasil – specializing in healthcare and SME lending, respectively. By employing innovative technology and streamlined processes, BFG’s companies deliver services that challenge the traditional financial landscape.