PROJECT

Projects

Summary of Investment Information

Project Number

33942

Company Name

TRANZA S.A.S

Date SPI Disclosed

Oct 18, 2013

Country

Colombia

Region

Latin America and the Caribbean

Projected Board Date

Nov 18, 2013

Environmental Category

C - No Impact

Status

Completed

Last Updated Date

Sep 13, 2024

Department

Equity Portfolio Management

Industry

Financial Markets

Previous Events

Approved : Feb 20, 2014
Signed : May 29, 2014
Invested : Aug 27, 2014

Sector

Retail Payment Points

Project Description

MovilRed (operated by Tranza S.A.S., the “Company”) is the leading distributor of prepaid cellular phone airtime in Colombia with the largest network of point of sale made up of 80,000 large and small retailers. MovilRed business was created in 1998 as part of CellStar Colombia, a distributor of mobile telecommunication equipment in Colombia, a subsidiary of US company CellStar Corp. CellStar Colombia was acquired by two Colombian entrepreneurs in a management buy-out in 2004, which became Solidda Group S.A.S. in the following year. In 2010, Solidda Group spun off the MovilRed business into a new separate entity called Tranza S.A.S. to obtain a money transfer license. Since then the Company expanded its business lines to domestic money transfer, bill payment, correspondent banking and public transportation recharge services. IFC is considering a potential equity investment of up to US$10 million in the new holding company of Tranza S.A.S. to help the Company becoming one of the key payment service providers and an important partner for banks to offer financial services to the underbanked population in Colombia.

Sponsor / Cost / Location

Development Impact

E&S Category Rationale / Risks and Mitigation