This is SoftBank’s second investment in Mexico after it invested $20 million in Clip, a payments firm.
In a development that sees an expansion in SoftBank’s growing portfolio in Latin America, the Japanese conglomerate said, it will be investing in Kavak, a Mexican used car platform.
“We are proud to join with and invest in Kavak Mexico,” said Marcelo Claure, SoftBank’s chief operating officer who oversees the Group’s Latin America investments. “The company is truly transforming the use of mobile devices in the automotive market in Mexico.”
In August there were news reports of SoftBank being in advanced talks to invest in Kavak, following an announcement that it has created a $5 billion fund which will focus on Latin America.
Kavak’s Chief Executive Carlos Garcia did not immediately respond to requests for comments.
Incidentally, Kavak is SoftBank’s second known investment in Mexico.
SoftBank led a roughly $17.6 million funding round in Brazilian used-car platform Volanty in August with Argentina’s Kaszek Ventures, which is also an investor in Kavak.