Fintech Startup Bamboo Obtains License to Act as Independent Coordinator of Public Offerings

Brazilian fintech Bamboo has been granted a license to function as an independent coordinator of public offerings, making it the first startup to receive such authorization. The startup’s license to operate in this capacity was enabled by CVM resolution 161, implemented in January 2023.

Bamboo’s mission is to cater to a market sector that has been neglected by large banks. The fintech company, co-founded by Felipe Moraes and former Móvile CFO Arthur O’Keefe, aims to assist smaller operations that traditional financial institutions find less appealing due to their size and scale. Bamboo’s financial offerings start at R$20 million.

Utilizing Technology in a Traditionally Analog Market

Bamboo’s strategy is to introduce technology in a market that still largely operates in an analog manner. In this endeavor, CVM resolution 160 has been a significant contributor. It allows products aimed at professional investors to be offered on a single platform, making the operation more scalable. Prior to this resolution, offers could only be extended to a maximum of 75 potential clients.

Bamboo’s Journey and Future Plans

Since its inception in 2022, Bamboo has structured R$50 million in debt securities. The platform deals with an array of products in this segment, including bonds, CRIs, CRAs, FIDCs, and other funds.

Bamboo’s direct investors include assets, family offices, and the banks themselves. However, the company intends to diversify its investor base to include smaller institutions and those outside the Rio-São Paulo axis.

As a securitiser, Bamboo had the capacity to make public offerings of products issued by the operation itself, but only up to R$120 million. With the newly granted license, the fintech is planning to make its first offering with no value limit in the early part of next year.

In its approximately 10 months of operation, Bamboo has already attracted a significant number of investors. In early 2022, the company raised $4 million in a funding round with GFC and Atman Capital, along with 30 notable angel investors, including Marcelo Martins of Cosan and several family offices.