SEK2083m market cap
SEK2.78 last close
VEF (formerly Vostok Emerging Finance) is an investment company taking equity positions in early stage fintech companies in a broad spectrum of financial services in emerging and frontier markets.
VEF is a unique, fairly young company focused on fintech in emerging markets where financial services are underpenetrated and populations are jumping straight to digitalisation, with COVID-19 accelerating this trend. It is particularly focused on Brazil, which offers enormous growth potential with over 200 million people, high online penetration, scalability, incumbents with concentrated market shares and high pricing, and regulatory support for fintechs. VEF trades at a discount to NAV (13%) following a 20% NAV increase in Q320 and could offer a very attractive entry point for growth-oriented investors who cannot easily get exposure to this asset class. Its track record is limited, but realisations so far have made a 65% IRR, and VEF is backed by highly regarded shareholders.