Klar, a leading digital financial services platform providing a transparent, free, and secure alternative to legacy banking services in Mexico, today announced a USD $90M funding round led by General Atlantic, a leading global growth equity firm. Prosus Ventures, Quona, Mouro, IFC, Acrew, WTI, and Endeavor Catalyst also participated in the round. Klar plans to leverage the funds to further enhance its platform with innovative solutions tailormade for the Mexican market, explore strategic acquisitions, deepen the Klar ecosystem by touching more customers via new distribution avenues, and invest in its team and talent.
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Founded in 2019, Klar is focused on reinventing the Mexican financial services industry and expanding access to digital banking with a technology- and customer-first approach. Klar offers solutions for consumers spanning all financial needs, including spending (with credit, mobile payments, and rewards program offerings) and borrowing (with personal loan, salary advances, and buy now, pay later services). Since its founding, Klar has grown to become the largest Mexican digital finance platform and the most recognized Mexican financial innovation brand by Mexican consumers.
By employing cutting-edge technology, proprietary data science, and thoughtful customer service, Klar eliminates the bureaucracy and confusion typically associated with traditional banks. In a market that is ripe for increased penetration – currently, 85% of the population lacks formal access to credit and 50% remain unbanked today – Klar has focused on providing a simple and transparent digital-first experience. 40% percent of Klar’s customers have access to digital products for the first time, and the resonance of Klar’s offering is reflected in its net promoter score (NPS) of 80 – approximately 4x that of traditional banking incumbents.
“Since its inception, Klar has aimed to empower millions of consumers across Mexico with simple and transparent offerings that enable them to live better lives,” said Stefan Möller, Co-Founder and Chief Executive Officer of Klar. “We see an opportunity to provide bespoke solutions to Mexican consumers who are eager to adopt technology, and who are not adequately served by anachronistic institutions. We are thrilled to have the continued support of General Atlantic and our investor base as we focus on creating simpler and more transparent financial solutions for our customers.”
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“Klar demonstrates a deep understanding of the Mexican market – counter to foreign players and legacy incumbents – and has focused intently on creating a suite of products that cater to these unique needs. As digital adoption in Mexico accelerates, we believe Klar is well positioned to continue its exciting growth trajectory, and we are pleased to extend our partnership with Stefan and the team,” commented Luis Cervantes, Managing Director and Head of General Atlantic’s Mexico office.
Klar has added 1.4M customers in the past 12 months, experiencing a 7x revenue increase and 4x transaction volume increase year-over-year. With this latest investment, the company has raised more than $150M in growth funding, the largest amount raised by any Mexican neobank to date.
The transaction is subject to applicable regulatory approvals, including clearance of the Mexican Banking and Securities Commission (CNBV).
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