LatAm List – Clip develops mobile credit card readers much like Square in the United States, allowing small businesses to easily accept card payments. The payments startup recently announced a $100M round with a $20M contribution from Japanese investor, Softbank, who pledged $5B to Latin American startups earlier this year. General Atlantic also co-invested in the round.
This investment round brings Clip’s investment total to $160M and gives it a post-money valuation of $350-400M, according to Reuters. This deal was closed just before Softbank announced its Innovation Fund for Latin America.
This investment was considered small for Softbank, which normally invests $80M+ tickets. However, Latin America’s market allows startups to grow quickly with even a small injection of capital. International investors see Mexico as an attractive market for fintech since most people have cellphones, but not bank accounts.
“You have the perfect elements to create fintech giants in this country,” said Eric Perez-Grovas, general partner at local investment firm Jaguar Ventures.
Softbank is reportedly analyzing over 140 startups in the region in the areas of fintech, e-commerce, healthcare, and mobility. They announced a $1B investment in Colombia’s Rappi in late April.
Read more in Reuters.