$190.6 million in fintech funding (equity and debt)

Hola amig@s fintech,

We're excited to bring you another edition of This Week in Fintech, with the latest updates and insights in Latin America, especially now that funding has taken off again in our region. We remind you about our upcoming TWIF LatAm Fintech Happy Hour in Mexico City on April 30th. Don't miss this opportunity to get to know people, share experiences, and connect with fellow industry professionals. Be sure to RSVP and secure your spot for what promises to be an engaging and insightful event!

Below, you'll find the top headlines in LatAm fintech for this week. If you're browsing online, we'd greatly appreciate your support by sharing and subscribing to stay updated with the latest news.

💛 Until next weekend. Até a próxima!

• Lorena

📺 Sponsored Content

Want to sponsor a newsletter? See our sponsorship information here or reach out to latam@thisweekinfintech.com. Want to sponsor an event with the TWIF LatAm community?  Check out the FAQ here, send us your info via this form or reach out to latam@thisweekinfintech.com

📊 Stat of the Week

In Mexico, remittances are equivalent to 13% of the government’s expenditures budget. However, unlike the budget, most of this money goes directly into the pockets of Mexicans, making a tangible difference in their lives (Source).

📖  Read of the Week

"The future of remittances in Latin America: Digitalization, multiple rails and the strategic role of alliances" by Mastercard, highlights the trends and opportunities to digitize remittances in Latin America, considering the constant growth of remittances in the region in the last 30 years and the need to modernize and streamline money sending processes through digital solutions to improve financial inclusion and reduce costs for senders and receivers.

🦉 Post of the Week

 🎙️ Podcast of the Week

💸 Venture Financing

💸 Equity

🇧🇷 QI Tech, the Brazilian financial services tech infrastructure company, raised $50 million in a Series B round extension, led by General Atlantic and Across Capital. The company now hits the $1 billion valuation mark and becomes the new Brazilian “unicorn”. 

🇨🇱 Fintoc, the Chilean B2B instant payments API startup, raised a $7 million Series A round led by Propel.  

🇧🇷 Greg, the Minas Gerais intelligent payments startup for healthcare establishments, secured $390,900 in a Seed round from Hiker Ventures.

🇨🇴 OnePay, the Colombian payments processor via Whatsapp, raised $1.3 million in a Pre-Seed funding round from QUPA Ventures, it also partnered with Mastercard to enhance its whatsapp offerings of financial services in Colombia.  

🇧🇷 iCred, the Sergipe-based startup that gives credit to formal workers, raised $82 million through a FIDC.

💵 Debt 

🇧🇷 Vixtra, the São Paulo-based credit for importers company, raised $36 million in a Pre-Series A round in debt and equity. It includes a $30million debit facility through a FIDC (credit rights investment fund) with asset managers such as Capitânia, Verde, Credit Saison, and Contea; and a $6 million seed extension funding led by Valor Capital, QED Investors, NXTP, Endeavor and Actyus.

🇲🇽 Mattilda, the Mexican SaaS firm for billing and payment processing in private schools, secured $14 millions in an extension of its credit line from Addem Capital.

💰 Venture funds 

🌎 Kaszek, the Argentinian-founded VC fund, began using the almost $1 billion raised in 2023, between early-stage startups and more advanced ones. 

🚀 Product Launches & Partnerships

💻 Fintech 

🇦🇷 Credicuotas, the Argentinian personal loan platform from Grupo Bind, and Pomelo, the Argentinian digital processing platform, announced a partnership to introduce a new prepaid card for underserved communities. The card offers real-time transaction processing and personalized credit solutions.

🇲🇽 GoFundMe, the US-based fundraising platform, announced its expansion into Mexico, enabling local fundraisers to seek financial support for various causes. With Mexico being the platform's 20th country, the company aims to tap into the LatAm market's potential for charitable giving and community support.

🇧🇷 Magie, the Brazilian neobank, announced the introduction of AI-powered banking within WhatsApp, offering a range of financial services through language-based AI models. The company targets high-income individuals.

🇦🇷 AstroPay, the UK-based online payment solutions provider, announced the introduction of the Mastercard AstroPay GOAT Card in Argentina, powered by Pomelo technology. The prepaid card, available physically and virtually, offers users easy fund loading and immediate access for daily purchases and online services.

🌎 Nubank announced the introduction of Bitcoin and cryptocurrency features, allowing customers to send and receive digital assets via its app. The company aims to expand its crypto offerings beyond Bitcoin, Ethereum, and Solana in the near future.

🌎 Verqor, the Mexican cashless credit platform for farmers, and Traive, the US-based lending and credit risk assessment platform, announced a partnership to develop a new product aimed at streamlining credit approvals for smallholder farmers, using agricultural data to provide better credit decisions.

🌎 Konvex, the Colombian unified API software for reconciliation and underwriting, announced a universal API integrating over 10 ERPs in LatAm. The company aims to streamline financial operations for businesses, simplifying accounting processes.

📜 Policy

🇧🇷 NuInvest, the investment broker arm of Nubank, was authorized by the Central Bank of Brazil to operate in the foreign exchange market. 

🇨🇱 The financial regulatory authority of Chile (CMF) opened the consultation process regarding the open finance system regulations included in the Fintech Law. The process will continue until May 15. 

🌎 Integrity Financial Corporation, the US-based B2B digital financial solutions company, was authorized by the financial regulatory authority to operate in Colombia. 

📰 Other News 

🌎 Merama, the Chilean/Mexican e-commerce brands startup, secured a $80 million credit line from JP Morgan.

🇲🇽 Rappi and Amazon Mexico announced a partnership to provide unlimited free deliveries from restaurants, supermarkets, and pharmacies to users with a Prime membership.

🇧🇷 Nubank and Max Brazil, the streaming service, announced a partnership to launch Nubank+, which will offer Nu users access to the  streaming platform at no additional cost, in addition to cashback, free withdrawals, and other services.

🇨🇴 Habi, the Colombian digital platform that aims to simplify the process of buying and selling properties, announced an expansion of the financing line granted by BBVA Spark to $48 million.

🌎 Mastercard announced the expansion of its “Engage” and “Fintech Express” programs, making it easier for fintechs to quickly develop and deploy solutions globally.  

📚 Deeper Reads

How AI generates irresistible, tailored bank marketing messages

5 banking customer experience trends to consider for 2024

Stripe, doubling down on embedded finance, de-couples payments from the rest of its stack

Mexico and its path towards the regulation of digital assets (ES)

The key trends in payment methods for SMEs this 2024 (ES)

Opportunities for neobanks in Mexico (ES)

📣 LatAm startup alum who have been impacted by layoffs and recruiters looking for top talent, check out the Startups Alumni and Layoffs Brasil databases.  

If you’re looking to hire from a group of 10,000+ smart, motivated fintech professionals, come pick up a Collective Pass and post a job here.  If you’re looking for your next adventure at one of the best fintech companies, check out the open roles here!

Made in LatAm with 💛 by Elena, Daniela, and Lorena

👍👎 Did you like this edition of TWIF LatAm?  Take a 1-minute anonymous survey here.

Come meet us in person at www.thisweekinfintech.com/events. You can also join our global community on Twitter, LinkedIn, and Instagram.