Global credit card giant Visa recently finalized its acquisition of Pismo, a prominent cloud-native issuer processing and core banking platform based in São Paulo, Brazil. The strategic move, valued at $1 billion in cash, positions Visa to enhance its core banking and issuer processing capabilities across various card types, including debit, prepaid, credit, and commercial cards, through cloud-native Application Programming Interfaces (APIs).
Pismo, a technology firm, offers an integrated processing platform for banking, payments, and financial markets. Catering to large banks, marketplaces, and fintech, our cloud-native microservices empower rapid product launches, facilitating the transition from legacy systems to cutting-edge technology. The Pismo platform ensures scalability, high security, and availability standards for diverse financial products.
Visa, a global digital payments leader, connects consumers, merchants, and financial institutions across 200+ countries. Committed to innovation, convenience, and security, Visa aims to foster inclusive economies, believing access is crucial for the future of global money movement, uplifting individuals, businesses, and economies worldwide.
The acquisition allows Visa to leverage Pismo's robust platform to provide core banking and card-issuer processing capabilities across all product types through cloud-native APIs. This collaboration is expected to offer enhanced support and connectivity for emerging payment schemes and Real-Time Payment (RTP) networks, benefitting financial institution clients globally.
Visa's Chief Product and Strategy Officer, Jack Forestell, highlighted “Core banking and issuer processor capabilities are key offerings for many of our financial institution and fintech partners’ clients.” He further expressed confidence that the combination of Visa and Pismo would broaden these offerings and better serve the ecosystem.
Pismo's cloud-native issuer processing and core banking platform, known for its flexibility and agility, allows financial institutions to launch innovative products in areas such as cards and payments, digital banking, digital wallets, and marketplaces. The acquisition marks a significant milestone, enabling clients to utilize a single cloud-native platform for banking and payments innovation.
Ricardo Josua, Co-Founder and CEO of Pismo, emphasized “The combination of Visa and Pismo will enable our clients to launch innovative payments and banking products within a single cloud-native platform regardless of network, geography, or currency. The closing marks a new era for banking and payments.”
The acquisition, considered one of the largest cross-border fintech deals in Latin America, reflects Visa's strategic decision to expand its services by providing core banking and card-issuing services to financial institutions alongside its traditional credit and debit card offerings. For Pismo, the acquisition represents a remarkable turnaround from its financial challenges in 2019, showcasing its resilience and growth into a key player in the Latin American fintech landscape.