Mexico's Clip hits unicorn status after SoftBank investment

Mexico's Clip hits unicorn status after SoftBank investment

A device from Mexican payments startup Clip is seen in this picture illustration taken in Mexico Ci
A device from Mexican payments startup Clip is seen in this picture illustration taken in Mexico City, Mexico, on Oct 11, 2019. (Photo: REUTERS/Luis Cortes)

NEW YORK: Mexican payments startup Clip on Thursday (Jun 10) said its valuation has jumped to nearly US$2 billion after a recent investment led by SoftBank Latin America Fund and Viking Global Investors LP, putting it in a small but growing club of Mexican "unicorns."

The company was the first in Mexico to receive funding from SoftBank's Latin America fund in 2019. The latest investment round amounted to US$250 million, Clip said.

The resources will help Clip "grow aggressively" in Mexico, Chief Executive Adolfo Babatz said in a statement.

Clip, founded in 2012, offers a mobile credit card reader that fits onto smartphones. Businesses across Mexico such as cafes, corner stores and street vendors have embraced Clip as a simple way to accept cards in a country heavily dependent on cash.

Late last year, another SoftBank-backed company, used-car platform Kavak, became Mexico's first known unicorn - lingo for tech startups valued at more than US$1 billion. It was joined in that ranking last month by cryptocurrency trading platform Bitso.

Source: Reuters/ec

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