The money from the round will go towards artificial intelligence developments for financial companies and expansion in the region. The company’s plans for Argentina.
20 February 2025 12.26
N5, the multinational technology company focused on the financial sector, secured a new investment round of approximately $20 million. This injection of capital aims to boost its development in artificial intelligence, focusing above all on accelerating the evolution of its AIfred, Pep and Singular solutions. In addition, funds will be made available to further expand its global presence.
In this round, N5 has added Alexia Ventures, a fund specializing in software and AI companies in Latin America, and Scale-Up Ventures, Endeavor’s venture capital fund. These investors join others already backing the company, including Illuminate Financial, Exor Ventures, Madrone Capital Partners, LTS Investments, Arpex Capital, and Overboost.
The participation of Scale-Up Ventures, belonging to Endeavor (Editor’s note: according to Endeavor Argentino’s Endeavor fund), reinforces the support of the network of high-impact entrepreneurs for N5’s vision. Vinícius Furlan, Principal of Scale-Up Ventures, highlighted that Julián Colombo, founder and CEO of N5, has a deep knowledge of the financial sector, which gives him a key competitive advantage in the industry.
Patrick Arippol, co-founder and partner at Alexia Ventures, said N5’s artificial intelligence is already in place and transforming the relationship between banks and customers. Katherine Wilson, Senior Principal at Illuminate Financial, highlighted N5’s ability to redefine the customer experience in banking through advanced technology.
The company, which operates in 18 countries and has clients such as Mastercard, Santander and Itaú, has doubled in size in the last year. In addition, it has strengthened its technology team by 54% and accelerated the development of solutions that optimize operational efficiency in the financial sector. With this new investment, N5 seeks to consolidate itself as a leader in the digital transformation of the banking industry, combining cutting-edge technology with a strategic focus on international expansion.
The objective of the investment round
As mentioned, one of the goals is to accelerate the evolution of its AIfred, Pep, and Singular solutions. This is in addition to an investment made last year for the development of these tools that, according to the company, promise to optimize and enhance financial and insurance operations, offering advanced and personalized solutions for their users.
“The use of these new tools could drive cost reductions by 94%, generate 9 times more productivity in teams, reduce risks by 25% and increase customer satisfaction by 35 points,” N5 highlighted in a statement in mid-2024.
According to data from the company, some 1,400 million people around the world do not have a bank account, which prevents them from accessing payments, collections, savings and credit. According to Colombo, AI can drastically reduce customer service costs, allowing organizations to expand their customer base and improve retention through personalized attention.
For this reason, part of the new round will also be used to expand the company. It is worth remembering that the company announced last year that it would allocate several million dollars to acquire companies in countries in the region, including Argentina, to help them promote this strategy. While this is still in place, there was a change in strategy that Colombo explained to Forbes.
“We are still in negotiation with an Argentine company. But a big part of the goal of the purchases was to grow our ability to install our platform for the customers we had on the waiting list. So we decided to create a partner/distribution program (N5 Partner Network), where professional services companies (such as EY in Mexico or Capgemini in Brazil) will be able to implement our platform in more clients and geographies. That is showing faster results than buying companies,” said the CEO of N5.
To conclude, the company points out that in the last year they doubled their size and expanded their operations to Peru, Chile, Mexico and the Dominican Republic, reaching a total of 18 countries. This growth was accompanied by a 54% increase in its technology team and by the acceleration in the development of its Artificial Intelligence solutions, which are revolutionizing the way banks and fintechs operate.
