Uruguayan fintech Inswitch sold to US tech giant TransNetwork •

Uruguayan fintech Inswitch has been acquired by US-based TransNetwork, a B2B payment infrastructure platform for instant money transfers in Latin America. The deal, which closed on February 29, was a multimillion-dollar transaction, according to Inswitch CEO Ronald Alvarenga, who described it as one of the most significant in the market.

Alvarenga confirmed that Inswitch will retain the name, team and offices, while using the acquisition to accelerate growth in Latin America and enter the US market. The company is already exploring ten business opportunities with major US customers, facilitated by legal approvals established by TransNetwork.

This acquisition merges TransNetwork’s payment network with Inswitch’s instant money transfer capabilities, with the goal of increasing cross-border payment transactions in Latin America. Inswitch, which focuses on e-wallets, digital payments and card issuing, serves about 100 customers across Latin America and the Caribbean. It processes approximately $13 billion annually through its platform and has offices in Mexico, Brazil, Colombia, Peru, Chile, Argentina, Uruguay, Guatemala and El Salvador.

The new capital will primarily improve Switch’s commercial, marketing and product areas. This year the company plans to expand its workforce by adding 35 to 45 professionals. Switch currently employs 135 people, 70% of whom are based in Uruguay, where the main development team is located. Alvarenga expects a 30% growth in the Uruguayan team.

The relationship between Inswitch and TransNetwork began in October 2022 at an event in Las Vegas, initially exploring collaboration opportunities. Within a few months they identified significant potential for joint ventures. While Inswitch was raising capital to expand financial services in Latin America, cultural alignment and strategic fit with TransNetwork led to the acquisition decision.

Source