US-based digital lending platform AlphaCredit has completed a M$2.4bn ($125m) series B round led by telecommunications and internet conglomerate SoftBank’s Latin America Fund.
The round also featured a range of unnamed existing and new investors. The round was first announced in January 2020 but had remained subject to regulatory approval until last week.
Founded in 2010, AlphaCredit provides loans to consumers and small and medium-sized enterprises in Mexico and Colombia, focusing on clients underserved by traditional financial services firms.
The company primarily issues payroll deduction loans to government workers and provides invoice and lease financing for businesses.
The company will use the cash injection, together with $400m in convertible note financing secured in February 2020, to weather the current global economic climate.
Marcelo Claure, chief executive of SoftBank Group International, said: “The closing of our investment in AlphaCredit points to the great potential of the company to provide accessible loans to people and underlies SoftBank’s strong commitment to Latin America.” [translated from Spanish by Global Corporate Venturing]
AlphaCredit has not disclosed details of earlier equity rounds, though the company issued $300m in senior notes on the Singapore Stock Exchange in 2018.
