Mexican fintech company Klar has recently completed a series C funding round, securing USD 190 million. This brings its valuation to over USD 800 million.
The funding consists of USD 170 million in equity and USD 20 million in venture debt. General Atlantic from the United States led the investment, with the support of existing investors like Prosus, IFC, Mouro Capital, and Quona Capital. New investors include Santander Group, Grupo Televisa, and Grupo Formula.
The funds will be used to enhance Klar’s operations in Mexico, focusing on expanding its product lineup and accelerating growth initiatives, as reported by a company representative.
Mexico’s Fintech Sector Gains Investor Interest
In 2024, Mexico witnessed an impressive USD 865 million in fintech investments across 50 deals, marking a 74% share of all venture capital allocated nationally. This surge reflects a notable increase in investor focus compared to previous years.
The growth of the Mexican fintech ecosystem has been remarkable, evolving from around 300 startups in 2018 to over 1,000 by mid-2025. Out of these, approximately 803 are domestic firms, while the rest target Mexico’s market.
Mexico has narrowed the gap with Brazil, traditionally leading in fintech investment within the region.
From Rapid Growth to Profitability
Domestic fintech companies are shifting their focus from rapid expansion towards achieving profitability. Klar is expected to reach annual revenues of nearly USD 300 million as it transitions into this new phase.
Challenges in Financial Inclusion Persist
Mexico still faces significant challenges in financial inclusion, with about one-third of its population unbanked and many small and medium-sized enterprises (SMEs) struggling to access credit. According to the World Bank, only 37% of adults have formal bank accounts.
While cash remains the primary payment method for over 70% of adults, digital transactions are gradually becoming more common. The Mexican payments market is projected to grow from USD 103 billion in 2023 to USD 168 billion by 2028, driven by an increased adoption of digital financial tools.
