Stock Markets January 29, 2026

PicPay's Nasdaq Debut Ends Four-Year Dry Spell for Brazilian Listings

Digital bank raises $434 million in IPO, highlighting U.S. demand for Brazilian fintechs and potential revival of cross-border floatings

By Ajmal Hussain
PicPay's Nasdaq Debut Ends Four-Year Dry Spell for Brazilian Listings

PicPay, the Brazilian digital bank controlled by the Batista family, launched its IPO on Nasdaq after raising $434 million by selling 22.86 million shares at $19 each. The listing - the first by a Brazilian company in more than four years - valued PicPay at about $2.6 billion and may expand to roughly $500 million if underwriters exercise a 30-day option. The move underscores strong U.S. investor appetite for Brazilian fintechs and raises the prospect of more listings abroad.

Key Points

  • PicPay raised $434 million by selling 22.86 million shares at $19 each and will trade on Nasdaq under the ticker PICS.
  • The IPO breaks a more than four-year gap in Brazilian company listings and values PicPay at about $2.6 billion, with a potential expansion of the deal to roughly $500 million via an underwriter option.
  • The offering highlights continued U.S. demand for Brazilian fintechs and raises prospects for more listings abroad, while domestic market dynamics and high local interest rates may keep some supply away from Brazil.

PicPay, the Brazilian digital bank backed by the Batista family, began trading on Nasdaq on Thursday after completing an offering that raised $434 million. The company sold 22.86 million shares at $19 apiece and will trade under the ticker symbol PICS. The transaction marks the first new public listing by a Brazilian company in more than four years.

The IPO implies roughly a 21% dilution for existing shareholders and placed an overall value on PicPay of about $2.6 billion, according to Brazilian business media Valor Economico. Underwriters were also granted a 30-day option to purchase additional shares at the IPO price, a move that could raise the deal size to around $500 million if exercised.

The listing is a strategic win for brothers Wesley and Joesley Batista, who retain more than 90% of PicPay's voting rights. The brothers, whose corporate group was rebuilt after a corruption scandal a decade ago, control an empire spanning meatpacking, energy, mining, fintech, media and cosmetics across at least 20 countries. PicPay itself was founded in 2012 and was acquired three years later by J&F Investimentos, the holding company associated with New York-listed meatpacker JBS.

Investor interest in the placement extended beyond the Batistas' circle. Bicycle Capital - a growth fund led by former SoftBank executives that includes Bolivian billionaire Marcelo Claure among its leaders - committed $75 million to the offering, according to a filing. The IPO, which PicPay had previously explored and then abandoned in 2021, was led by Citigroup, Bank of America and Royal Bank of Canada.


Breaking the four-year drought

Market participants framed the PicPay deal as the end of a prolonged lull in Brazilian IPO activity. Before PicPay, the most recent Brazilian company to go public was digital bank Nubank, which listed on the New York Stock Exchange in late 2021 and raised $2.6 billion at a valuation above $40 billion, becoming Latin America's largest bank by market capitalization. The last IPO on the Brazilian stock exchange was fertilizer producer Vittia in September 2021.

Anderson Brito, head of investment banking in Brazil at UBS BB, said a poll of institutional investors anticipates more than 10 Brazilian IPOs in 2026, either domestically or abroad. Agibank - a financial technology firm that was valued at 9.3 billion reais in late 2024 - filed this month to list on the New York Stock Exchange, reflecting a trend among Brazilian fintechs to pursue U.S. listings.

Market participants point to the comparative attractiveness of U.S. public markets for Brazilian fintechs. PicPay's successful offering in the United States illustrates demand from U.S. investors, even as some market participants see less appetite at home.

"With the benchmark interest rate at 15% a year, who would want to invest in an IPO in Brazil?" said Pedro Galdi, an investment analyst at fintech AGF, noting that domestic fixed-income yields can make local equity issuance less appealing.

Ulrike Hoffmann, global head of equities at UBS Global Wealth Management, said at a conference in Brazil that she expects broader IPO activity in the U.S. this year - not only from Brazilian firms but also from U.S. tech companies. Her comment suggests U.S. markets could continue to draw supply, which may in turn influence demand back in Brazil.

Cesar Mindof, a director at the Brazilian Financial and Capital Markets Association, said he expects the local market to revive through large transactions concentrated in more defensive sectors such as infrastructure.


What the PicPay IPO signals

The listing demonstrates that Brazilian fintechs remain attractive to international investors when pitched in U.S. markets. For issuers, the path to New York may provide better comparative metrics against global peers. For Brazil's domestic market, the resurgence of large-scale transactions - if it materializes - could be concentrated in sectors perceived as defensive and tied to infrastructure.

At the same time, the relative pull of U.S. venues and the strength of local fixed-income yields underline an ongoing tension in where Brazilian companies choose to list and where investors allocate capital.

PicPay's entry to Nasdaq is thus both a milestone for the company and a potential catalyst for more cross-border activity among Brazilian issuers, particularly in the fintech space, while leaving open how quickly domestic equity markets will react.

Risks

  • High domestic interest rates - with Brazil's benchmark rate at 15% - may continue to deter investors from participating in IPOs on Brazilian exchanges, affecting equity market liquidity and issuance.
  • Reliance on U.S. markets for listings could mean Brazilian companies remain exposed to foreign investor sentiment and regulatory environments, possibly limiting immediate revival of the local market.
  • Concentration of control - the Batista brothers retain more than 90% voting power in PicPay - could raise governance and liquidity considerations for minority investors.

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