Aleph, a prominent ecosystem of digital experts and technology-driven solutions, has announced its acquisition of a controlling equity interest in Localpayment, a rapidly growing Payment Service Provider (PSP) in Latin America. This strategic move aims to transform the digital landscape by integrating first-class digital advertising solutions with seamless local payment capabilities, creating a natural network effect in the process.
With this acquisition, Aleph is poised to enhance its existing offerings significantly. Already generating substantial revenue for major digital advertising platforms in over 130 emerging and high-growth markets, Aleph will now leverage Localpayment’s capabilities to process billions of dollars in payments for its clients. This positions Aleph as a unique player in both the digital advertising and fintech sectors, with the latter anticipated to grow to $1.4 trillion in Latin America by 2028.
Founded in 2018, Localpayment—now rebranded as Localpayment by Aleph—provides integration through a single API in 17 countries across Latin America. It supports over 640 local payment methods, including credit and debit cards, bank transfers, instant and QR code payments, digital wallets, and various alternative payment methods (APMs) such as Brazil’s PIX and Mexico’s Oxxo. Localpayment partners with industry leaders like PayPal and Payoneer, adhering to strict KYC (Know Your Customer) and compliance standards.
Aleph’s acquisition of Localpayment enhances its position in connecting digital advertising with streamlined payment solutions across various sectors, including streaming, digital media, the gig economy, online retail, SaaS, hospitality, travel, financial services, and entertainment. Key figures underline the combined impact of Aleph and Localpayment, highlighting over $3 billion in Total Payment Volume (TPV), partnerships with more than 60 top-tier platforms, and a network of over 26,000 advertisers. The integration also offers support for over 70 currencies across 130 countries via a single API.
The acquisition is expected to redefine how businesses in sectors such as streaming, e-commerce, and digital media operate by offering an integrated approach to payments and media. By enabling clients to manage their payment flows while leveraging digital media, Aleph anticipates creating significant cost efficiencies and operational savings. Businesses can now optimise their payment processing alongside their digital advertising efforts in a streamlined manner.
Gaston Taratuta, CEO of Aleph, commented, “For nearly two decades, we have focused on bridging the gap between leading ad-tech platforms and advertisers in emerging economies, creating an ecosystem where advertisers meet consumers. This acquisition represents a natural next step by integrating payment processing capabilities. It marks a significant evolution for Aleph, reflecting our belief in the ongoing shift from offline GDP to digital GDP, thereby driving even greater value creation for our partners and clients. We’re starting in Latin America and plan to expand operations organically and through acquisitions in Africa, the Middle East, and Asia, where we already have a strong local presence.”
Ezequiel Israel, CEO of Localpayment, expressed enthusiasm for the partnership, stating, “We’re thrilled to be part of Aleph’s journey and mission. This deal accelerates our growth and gives us direct access to the global digital platforms, brands, and online retailers that Aleph is associated with, providing a compelling combined offer.”
Localpayment by Aleph will showcase its services at the leading fintech event, Money 20/20, in Las Vegas from October 27 to 30, 2024.
