Canada's financial technology company Nuvei has obtained a Major Payment Institution (MPI) license in Singapore, marking the beginning of its expansion into the Asia-Pacific region. With this license, Nuvei can now offer various payment services to businesses in Singapore, including domestic and cross-border transfers, as well as merchant acquisition services.

Expansion into the Asia-Pacific Market

Nuvei's MPI license authorizes the company to operate three crucial payment services in Singapore to meet the diverse needs of businesses in the region.

Philip Fayer, Chairman and CEO of Nuvei, stated, "Obtaining the MPI license is another significant milestone for us to accelerate our growth in the Asia-Pacific region, enabling us to provide more payment solutions, including direct card payments for international transfers, enhancing the services we offer to our Singaporean clients."

Recently, Nuvei partnered with Mastercard Send to strengthen its operations in Singapore, enabling businesses to process cross-border payments using over 1.5 billion Mastercard debit cards, credit cards, and prepaid cards globally. The MPI license recently acquired in Singapore is part of Nuvei's broader expansion strategy in the Asia-Pacific region, including launching direct card acceptance in Australia and facilitating business in China.

Partnerships and Expansion Plans

Last year, Nuvei established a new office in China to bolster its operations in the country. During the inauguration ceremony, Fayer acknowledged the crucial role played by payment partners with global influence and regional insights in expanding international e-commerce operations.

Before venturing into China, Nuvei has recently taken several initiatives in the Asia-Pacific region. The company has obtained licenses in Hong Kong and Australia. Additionally, Nuvei acquired Paya last year, underscoring its commitment to expanding payment infrastructure.

Recently, Nuvei underwent privatization in a deal led by private equity firm Advent International, valued at approximately $6.3 billion. Under the terms of the agreement, Nuvei shareholders will receive $34 in cash per share. Fayer is reported to continue serving as Chairman and CEO of the company post-privatization to ensure continuity and operational efficiency.

The proposed transaction has received support from Nuvei shareholders, including Fayer, Novacap, and CDPQ, collectively representing a significant portion of the voting rights. However, the completion of the transaction is subject to shareholder approval, expected to be finalized by the end of 2024 or early 2025.