AlphaCredit©, a Latin American-focused fintech platform that specializes in consumer lending and financial solutions for SMEs, has signed an equity round for up to USD$125 million led by SoftBank's Latin America Fund, one of the leading technology investors in the world. The equity infusion will allow AlphaCredit© to consolidate its place as one of the leading financial technology platforms in Latin America, continue its expansion and leverage the competitive advantages of its proven and profitable business model. The deal is subject to, among certain customary conditions to closing, the approval of Mexico's competition authority (COFECE) and certain third parties.
"We want to thank SoftBank's Latin America Fund and the other investors participating in this round for placing their trust in us and our innovative business model. Cutting edge technology and strong financial backing have allowed us to grow exponentially while promoting the economic development of a greater number of people that have limited access to credit," stated Augusto Álvarez, Cofounder and Co-CEO of AlphaCredit©.
"Through this equity investment we will continue to provide fast, easy and flexible loans for individuals and small businesses, helping them improve their quality of life and promoting economic growth," mentioned José Luis Orozco, also Cofounder and Co-CEO of AlphaCredit©.
"AlphaCredit© provides fast, cheap credit lines to individuals and small companies via a programmed deduction system, which have low default rates thus allowing for low interest rates. Their approach is superior to everyone who belongs to their ecosystems and why we are so excited to back these awesome entrepreneurs who are changing the landscape in Mexico and Colombia," commented Paulo Passoni, Managing Investment Partner at SoftBank Group International.
AlphaCredit© has over eight years of experience lending in the Mexican and Colombian markets, with over $1 billion USD in loans granted to its clients which remain underserved by traditional banks or without access to other forms of financing. Through its platforms: AXS Access, Check!, Alcanza Capital and Bontu, AlphaCredit© continues to offer tailor-made lending solutions to consumers and SMEs.
Other leading international venture capital funds along with a group of its existing investors are joining Softbank in this Series B round, contributing their experience to the development of the FinTech sector in Latin America.
José Luis Orozco, Cofounder of AlphaCredit© mentioned: "We are committed to financial inclusion through innovation and technological development. We bring the best of both worlds to provide efficient access to credit and financial solutions to sectors underserved by traditional banking".
Re-disseminated by The Asian Banker