The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.

All material subject to strictly enforced copyright laws. © 2022 Euromoney, a part of the Euromoney Institutional Investor PLC.

dLocal sells a broader EM story

Payments company prices above range as it shrugs off regional valuation constraints on Nasdaq debut.

A view of the exterior of the Nasdaq market site in Times Square after the Nasdaq breached the 6,000 mark for the first time ever on Tuesday, in New York City
Source: Shannon Stapleton/REUTERS

Latin American fintechs will take encouragement from the successful Nasdaq listing of Uruguay-based payments fintech dLocal on June 3.

The IPO, which priced at $21 a share – well above the deal’s range of $16 to $18 – and popped a further 55% in trading to close at more than $32, was proof that the ‘Latin American discount’ that is typically applied to valuations of fintechs in the region can be overcome.

“I really struggled with the Latin American discount when I was an investment banker,” says dLocal’s COO, Sumita Pandit, who before joining the fintech in April this year had been global head of fintech investment banking for JPMorgan in New York.

“When we first started testing valuations with investors the assumption was the nearest comparisons were the Brazilian companies like Stone and PagSeguro,” Pandit, now based in San Francisco, told Euromoney shortly after the transaction priced.

Going public gives us acquisition currency – not so much to buy companies but to acquire people
Sumita Pandit, dLocal
Sumita Pandit, dLocal_400x400.jpg

As most listed fintechs in Latin America have been Brazilian companies – with exceptions such as Argentina’s Mercado Libre – this made sense, but Pandit and her team spent a lot of time convincing investors that dLocal was a broader EM story.


You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.


Unlimited access to and

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually


Unlimited access to and, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors


Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree