dLocal, which provides a cross-border payment processing platform for e-commerce, announced terms for its IPO on Monday.
The Montevideo, Uruguay-based company plans to raise $500 million by offering 29.4 million shares (85% insider) at a price range of $16 to $18. Cornerstone investor Fidelity intends to purchase 20% of shares in the offering. At the midpoint of the proposed range, dLocal would command a market value of $5.0 billion.
dLocal is focused on redefining the online payments experience in emerging markets. Through its One dLocal model, which is comprised of one direct API, one technology platform, and one contract, the company enables global enterprise merchants to get paid (pay-in) and make payments (pay-out) online in a safe and efficient manner. Its proprietary, fully cloud-based platform can currently power both cross-border and local-to-local transactions in 29 countries.
dLocal was founded in 2016 and booked $126 million in revenue for the 12 months ended March 31, 2021. It plans to list on the Nasdaq under the symbol DLO. J.P. Morgan, Goldman Sachs, Citi, Morgan Stanley, BofA Securities, HSBC, and UBS Investment Bank are the joint bookrunners on the deal. It is expected to price during the week of May 31, 2021.
