The Mexican fintech Klar announced it has acquired SOMOS, a company that designs credit risk models.
Klar is a startup that offers a digital, secure and transparent alternative to traditional credit and debit services. The fintech aims to democratize access to banking for Mexicans.
SOMOS, on the other hand, is redefining credit risk analysis by performing quantitative underwriting for consumer credit. The deep learning technology that the startup uses was created by its founders Federico Derby, Alejandro Dobles, and Juan Carlos Sarmiento.
Through this deal, Klar wants to increase its decision-making capacity. This will help them reduce risks and improve the customer experience:
“The acquisition of SOMOS allows us to enhance our proprietary data science capabilities further: we generate, store and analyze an enormous amount of data that we use to inform our decision making, reduce risk and improve the customer experience. Adding the SOMOS team and technology to the Klar platform puts us in a unique position to continue to add differentiated and personalized value to our customers,” shared Stefan Möller, CEO of Klar.
Klar recently announced that it closed a $70M funding round, which was led by General Atlantic. In total, the startup has raised over $150M in funding since it was created in 2019.
Read more on Bloomberg.