The first Uruguayan Unicorn, dLocal, announced as co-CEO Pedro Arnt, who most recently served as CFO of Free market, a decision that comes at a time when there was talk of a possible sale of the company.
This way, arnt will be the co-CEO of the fintech company along with Sebastian Kanovich. Thus, after his resignation Free market After 24 years at that firm, he will take over a company that had to face some scandals in recent times. The decision was welcomed by the market, since the shares of dLocal rose more than 30% in after-hours trading Wall Street Stock Exchange.
“I am honored and excited to join dLocal as co-executive director. The company’s proven success in putting customers first, serving many of the world’s largest companies and technology companies, in numerous high-growth emerging markets, presents a truly unique business opportunity.” arnt In a statement issued by the Uruguayan unicorn.
There, he highlighted: “I am confident that the combination of my experience, both as an operator, executive of a public company and member of the board of directors, in the design, creation and scaling of organizations, with Sebastián’s proven track record of results and his team, will further position dLocal to achieve great things in the future.”
To its turn, kanovich welcomed him and said: “We have a great opportunity ahead of us and I am confident that Pedro and I will lead the next chapter of dLocal as we continue to execute on our plan to deliver long-term value for our merchants, consumers and partners.”
While, Eduardo Azar, president of the board of directors of dLocal, He stated: “We are delighted that Pedro is joining the team. Sebastián and Pedro have a deep understanding of technology and payments. Both have had very successful experiences working in high-growth companies in emerging countries.” In the same vein, he highlighted that “their combined leadership creates a unique opportunity to deliver long-term sustainable value to our shareholders.”
The incorporation comes after a year to be forgotten
The arrival of arnt it can officiate as a balm for a company that in recent times, beyond its good economic and growth results, has been affected by several shocks. The first of these was in November 2022, when a report from Muddy Waters Capitals accused the fintech of falsifying its books of accounts and called it a “fraud”, after which its shares collapsed.
To that event, which involved complaints and investigations, including a class action lawsuit filed in the United States Supreme Court, the conflict with the government of Argentina, who denounced her for alleged capital flight and money laundering in the neighboring country.
From Argentina accused dLocal of evading foreign currency for 400 million dollars through overbilling of digital services, which earned the unicorn a complaint before the Securities and Exchange Commission (SEC), the regulator Wall Street, something that once again had an impact on the value of the shares.
dLocal’s investments and earnings
To scare away the rumors, the fintech appointed its co-founder, Sergio Fogel, as co-chairman, while days later he announced investments for 100 million dollars in the Argentine market with the aim of demonstrating his “economic substance”.
In the middle of that situation, dLocal accumulated a quarter with profits that reached 35.5 million dollars, 83% more than the previous period, while gross profit between January and March of this year reached 61.8 million dollars, an increase of 42% yoy
Despite this, the possibility of a sale of the company has emerged in recent hours, a version that seems to have been left behind after the appointment of arnt and the subsequent official statement.
Source: Ambito
