Dealflow.la #85 - Kavak 🇲🇽 Secures $527M, Argentina 🇦🇷 Lifts Capital Controls, & Peru 🇵🇪 Enacts Controversial Media Law

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Funding

AdmiralONE 🇨🇱 raised a $462K Angel Round with funding from angel investors to build a RegTech (SaaS B2B) platform that automates regulatory compliance and risk management for businesses. The platform leverages AI and automation to simplify complex regulatory requirements, enabling companies to reduce manual workloads, ensure real-time compliance, and mitigate operational risks with scalable SaaS solutions.

Altis 🇧🇷 raised a $3M Seed Round with funding from Magma Partners 🇨‍🇱 and Latitud 🇧🇷 to build an online lending platform that connects borrowers with investors through fast, fraud-resistant credit solutions. The platform leverages data-driven risk assessment to accelerate loan approvals, enabling businesses to access capital efficiently and scale revenue streams.

Divibank 🇧🇷 raised an $8.2M Later Stage VC Round with funding from Better Tomorrow Ventures 🇺🇸, RaliCap 🇺🇸, Presight Capital 🇺🇸, MAYA Capital 🇧🇷 as well as from other funds. to expand its data-driven financing platform that provides non-dilutive capital for SMEs to fund digital marketing, supplier payments, and inventory, with repayments tied to future revenue. Divibank’s flexible, revenue-based model and payment orchestration product, Divibank Pay, help entrepreneurs grow without diluting equity or straining cash flow, integrating multiple payment processors to optimize costs and streamline operations for Latin American businesses.

Finaktiva 🇨🇴 raised a $10M Debt Financing Round with funding from BBVA Spark 🇪🇸 to develop a digital platform that manages cash flow, liquidity, and financing for high-impact startups and SMEs in Colombia. Finaktiva offers a comprehensive suite of financial services—including cash management, supply chain finance, and timely credit—helping companies access fast funding, immediate liquidity, and streamlined supplier payments for growth and operational efficiency.

Belvo 🇲🇽 raised a $15M Series B Round with funding from Y Combinator 🇺🇸, Quona Capital 🇺🇸, Kibo Ventures 🇪🇸, Kaszek 🇧‍🇷, Future Positive 🇺🇸, and Citi Ventures 🇺🇸 to develop a financial API platform that connects data streams, analyzes user behavior, and enables secure money movement. Belvo’s open finance infrastructure allows businesses to access and interpret banking data programmatically, helping companies optimize financial operations, launch innovative products, and unlock new revenue opportunities through unified API integration.

Onfly 🇧🇷 raised a $40M Series B Round with funding from Tidemark 🇺🇸, Left Lane Capital 🇺🇸, and Endeavor Catalyst 🇺🇸 to streamline corporate travel spending with an AI-driven platform for booking hotels, flights, and rentals within company policy frameworks. Onfly’s solution automates expense tracking, reduces reimbursement workloads, and enforces budget compliance, empowering businesses to cut travel costs by up to 30% while improving employee productivity through seamless trip management.

Toku 🇨🇱 raised a $48M Series A Round with funding from Oak HC/FT 🇺🇸, Y Combinator 🇺🇸, Honey Island Capital 🇧🇷, Gradient 🇺🇸, F-Prime Capital 🇺🇸, and Clocktower Group 🇺🇸 to automate and optimize recurring payment collections for enterprises across Latam. The company’s AI-powered platform integrates with ERPs and payment systems to streamline invoicing, reconciliation, and omnichannel customer communication, reducing late payments by up to 80% while boosting operational efficiency.

Kavak 🇲🇽 raised a $527M funding Round (including $400M in debt financing and $127M in private equity) with funding from HSBC 🇬🇧, Goldman Sachs 🇺🇸, SoftBank 🇯🇵, and General Atlantic 🇺🇸 to transform Latam's used car market through a tech-driven platform that simplifies buying, selling, and financing pre-owned vehicles. The company guarantees quality with refurbished cars, AI-powered pricing, and integrated services like warranties and doorstep delivery, creating a transparent, end-to-end experience that eliminates traditional dealership hassles.

Acquisition News

• AdmiralONE 🇨🇱 acquired Confiden 🇨🇱, a software consulting and whistle-blower channel service, and GeniaControl 🇨🇱, a risk management and legal compliance platform for contractor/labor documentation, to expand its RegTech SaaS platform with integrated whistle-blower systems and AI-driven contractor compliance tools, solidifying its position as Chile’s leading automated regulatory compliance solution for Latin American markets.

• ActiveCampaign 🇺🇸 acquired Hilos 🇲🇽, a developer of WhatsApp automation tools for sales, support, and operations workflows, to integrate native WhatsApp messaging capabilities into its marketing automation platform, enabling seamless cross-channel customer experiences and AI-driven conversational marketing at scale.

• Achilles 🇬🇧 acquired InfoControl 🇦🇷, a specialist in AI-powered contractor documentation analysis and compliance tools for supply chains, to strengthen its AI-driven risk management platform with advanced data extraction capabilities, multilingual reporting, and automated supplier onboarding solutions. This acquisition accelerates Achilles' mission to deliver intelligent, ethical supply chain insights amid growing global sustainability and regulatory pressures.

• Grupo Financiero Banorte 🇲🇽 acquired RappiCard 🇨🇴🇲🇽, a digital credit card platform offering no-annual-fee cards, cashback, and seamless integration with the Rappi app, to take full control of their joint venture, boost digital cross-selling, and secure a 15-year exclusive partnership as the financial provider within the Rappi ecosystem in Mexico.

Startup & VC News

• TechCrunch 🇺🇸 announced the opening of applications for the 2025 Startup Battlefield 200, a premier global pitch competition at TechCrunch Disrupt 2025 in San Francisco, October 27-29. This event offers early-stage startups a chance to win a $100K equity-free prize and gain exposure to top VCs. Notably, Latam startups like Salva Health (Colombia), Ripio (Argentina), Jefa (Mexico), and Olho do Dono (Brazil) have leveraged the competition to achieve international success, securing significant funding and global recognition. Applications close June 9, 2025, with selected startups receiving extensive perks including free exhibit space and networking opportunities. This platform is crucial for Latam startups seeking global visibility and investor connections. (TechCrunch) (TechCrunch)

• Brubank 🇦🇷 partnered with Pismo 🇧🇷 (Visa-acquired paytech) to launch next-gen credit features in Argentina/LatAm using Pismo’s cloud platform—including instant spend alerts, virtual cards, customizable due dates, and enhanced security controls. The deal marks Pismo’s Argentine debut and accelerates Brubank’s digital leadership with Visa’s backing. (Inversor Latam) (LatAm Tech Weekly)

• Arca Continental 🇲🇽 invested in Sensify 🇦🇷 via AC Ventures to integrate AI-driven “Cooler Eye” tech (computer vision for real-time refrigeration optimization), boosting product availability, POS performance, and consumer experience. (El Economista) (Eje Central)

• Nu México 🇲🇽 announced receiving regulatory approval to become a full-service bank in Mexico, enabling it to expand beyond credit cards and savings into payroll, insurance, and investment products. This move positions Nu to directly challenge the country’s largest banks and accelerate digital banking adoption among its 10 million+ customers. (Diario Puntual) (El Economista)

Sociopolitical News

🇦🇷 Argentina

• Argentina lifts most capital controls, allowing free dollar purchases and a floating exchange band to stabilize its economy. The peso now trades between 1,000–1,400 per USD, with central bank reserves rising 56% to $38.6B, though economists warn of potential inflation risks. (BBC News) (Infobae) (Perfil)

• Mercado Libre invests $2.6B in Argentina for 2025, a 53% increase, to boost e-commerce and create 2,000 jobs. The plan includes logistics expansion, pharmacy sales, and food delivery, aligning with its $13.2B Latam strategy. (Bloomberg Linea) (Forbes Argentina)

• Brazilian neobank Inter enters Argentina's digital banking market, targeting 16M unbanked adults with cross-border services. Offering credit cards, USD investments, and Pix payments, it challenges local leaders Ualá and Brubank, which hold 88% market share, amid renewed fintech interest after Nubank's stalled 2019 entry. (Forbes Argetina)

• Fitch considers upgrading Argentina's sovereign debt rating from "CCC" due to economic reforms and a $20B IMF deal. Reforms include currency control removal, a managed exchange rate, and deregulation, which have significantly reduced inflation from 25.5% to under 3%. (Ámbito) (IMF) (Reuters)

🇧🇷 Brazil

• Brazil hit a record 1.4M new small businesses in Q1 2025, highlighting strong entrepreneurship and effective pro-business policies. A 35% jump in micro-entrepreneurs and simplified regulations fueled growth, with 47M now engaged in business nationwide. (Secretaría de Comunicación Social) (Agência Brasil)

• China and Brazil are advancing a $3.5B, 4,400 km Bioceanic Corridor rail project to link the Atlantic and Pacific, cutting Asian trade costs by 30% and bypassing the Panama Canal. The route connects Brazil’s Santos port to Peru’s Chancay megaport via Bolivia, with China leading technical studies, and up to $20B in further funding discussed for Amazon-linked expansions. (CNN Brasil) (La República) (Oxford Business Group) (SCMP)

• DiDi-owned 99 will invest R$1B ($200M) to expand in Brazil and relaunch 99Food, intensifying food delivery competition. The move adds food delivery to 99’s services, with 99Food returning mid-2025 after its 2023 exit, while legal issues persist over its suspended motorcycle taxi operations in São Paulo. (Agência Brasil) (Valor International) (Agência Brasil) (Valor International)

🇨🇱 Chile

• Chile launched a $950M plan to finish the 2,400 km Bioceanic Road Corridor, aiming to cut South America–Asia cargo transit by up to 10 days and boost trade. The initiative features 22 infrastructure upgrades and seeks to rival the Panama Canal, with partial operations set for 2030 and regional coordination underway. (MercoPress) (Buenos Aires Times) (The Rio Times)

• Chile's Central Bank sees inflation near 5% in 2025, converging to 3% by early 2026, with higher GDP growth driven by strong exports and demand. The 2025 GDP growth forecast is raised to 1.75%-2.75%, supported by copper exports, though global risks remain; inflation is expected to fall to 3.8% by end-2025. (Tiempo21) (Banco Central de Chile) (OECD)

🇨🇴 Colombia

• A FARC dissident attack in Mondomo, Cauca killed a woman and injured several, underscoring ongoing violence in southwestern Colombia. The Jaime Martínez front is blamed, with authorities offering a COP 300M (~$76K) reward as calls grow to protect civilians. (El Colombiano) (El País) (Infobae)

• Remittances to Colombia are set to hit a record $13B in 2025, overtaking oil as the top source of foreign currency. Growth is fueled by emigration, strong U.S./Spanish economies, and a weaker peso, but future U.S. migration policies could impact this trend. (La República)

• Colombia will issue two new external debt bonds on the NYSE to raise up to $3.6B for its 2025 financial plan. The 2030 and 2035 bonds help meet $8.2B in foreign currency needs amid high debt service and fiscal consolidation. (Valora Analitik) (Itaú)

🇨🇷 Costa Rica

• Costa Rica’s foreign direct investment (FDI) hit a record $4.32B in 2024, up 14% from 2023, driven by strong growth in manufacturing, free trade zones, and regional diversification. The country surpassed its investment targets by 37%, attracted 61 new projects (with 16 outside the capital region), and saw exports rise 8% to $30.56B, reinforcing its position as the fastest-growing OECD economy for two years. (Newswire) (The Rio Times)

• Costa Rica’s top electoral court ordered President Rodrigo Chaves to halt political campaigning and partisan rhetoric, warning of criminal charges for violating government neutrality before the 2026 elections. The TSE is investigating Chaves for alleged political belligerence and misuse of public resources, giving him three days to respond and threatening removal or disqualification if found guilty. (The Tico Times)

• Costa Rica’s attorney general accuses President Chaves and Culture Minister Rodríguez of abusing office by steering a $405K CABEI-funded contract to political allies, seeking to lift the president’s immunity. Prosecutors allege $32K in kickbacks went to a former adviser; the Supreme Court will decide if the case proceeds, with both officials facing up to 8 years if convicted. (Reuters) (Tico Times)

• Special Representative Qiu Xiaoqi’s Costa Rica visit boosted bilateral ties amid 5G policy friction and U.S. visa sanctions. Talks reaffirmed the one-China principle and economic cooperation as Costa Rica faced U.S. visa revocations over Chinese 5G involvement. (Ministry of Foreign Affairs of China) (Fundación Andrés Bello)

🇩🇴 Dominican Republic

• NYC Mayor Eric Adams visited the Dominican Republic to honor the 231 victims of the Jet Set nightclub roof collapse, one of the nation’s deadliest disasters. The April 8 tragedy killed prominent figures, injured 225+, and sparked investigations and legal action as NYC’s Dominican community mourns. (Spectrum News) (BBC)

• The Dominican government has proposed merging the Economy and Finance ministries to streamline administration and centralize fiscal oversight. The new Ministry of Finance and Economy would control macroeconomic policy and key agencies, while some planning roles shift to the Presidency. (Dominican Today) (GlobalSource Partners)

• The Dominican peso has appreciated 2.3–2.5% against the US dollar so far in 2025, ranking fifth among Latin American currencies and boosting local purchasing power. This strengthening reflects increased confidence in the Dominican economy, effective Central Bank policies, and factors like sovereign bond placements and reduced dollar demand, which have stabilized the exchange rate amid global challenges. (Dominican Today)

🇪🇨 Ecuador

• Daniel Noboa won re-election as Ecuador’s president with 55.6% of the vote, delivering a historic defeat to Rafael Correa’s leftist movement and signaling public rejection of its return. Noboa’s moderate, tough-on-crime stance appealed to voters weary of crime and political division, while Citizen Revolution’s divisive tactics and failed alliances hurt its chances. (La Silla Vacía) (AS/COA) (BBC)

• Ecuador has asked Trump’s U.S. administration for military aid—including a possible base, arms, and private security—to fight rising crime and drug trafficking. President Noboa seeks constitutional changes for foreign bases, revived U.S. presence in Manta, Blackwater training, and secured a $64M U.S. rifle sale amid record violence and ongoing security talks. (Infobae) (Swissinfo) (CNN Español)

🇸🇻 El Salvador

• The U.S. wrongly deported Salvadoran resident Kilmar Ábrego to El Salvador’s CECOT prison, sparking a diplomatic crisis over immigration errors and rights violations. Despite court protection, Ábrego remains isolated amid unproven gang claims, while the U.S. pays El Salvador $15M/year to detain deportees; Senator Van Hollen demands his return. (El Espectador) (DW)

🇬🇹 Guatemala

• Trump's 10% tariffs on Guatemalan exports could cost $84M in two months, threatening key agricultural trade. Guatemala says the move violates DR-CAFTA and could hurt jobs and raise U.S. prices, as it supplies 40% of U.S. banana imports. (Prensa Libre)

• Guatemala's SAT ramps up customs reforms to ease U.S. tariff tensions threatening $4.6B exports. The new superintendent targets streamlined taxpayer services, anti-smuggling analytics, and port efficiency, while President Arévalo pursues diplomatic fixes to avoid CAFTA-DR breaches. (Prensa Libre) (Latam FDI)

🇭🇳 Honduras

• The UN urged Honduras to halt criminalization of peasants advocating for land access, emphasizing risks to human rights amid decades-long agrarian conflicts. This call, marking World Peasant Struggle Day (April 17), highlights systemic violence, evictions, and over 200 deaths in Tocoa’s land disputes, with criminal groups and officials implicated in destabilizing rural communities. (El Heraldo) (Swissinfo) (Hondudiario)

🇲🇽 Mexico

• Mexico refuses to restore ties with Ecuador while Noboa is president, citing the 2024 embassy raid. Sheinbaum blames Noboa for the embassy breach to arrest ex-VP Glas and questions the election's fairness, echoing OEA and opposition concerns. (El País) (Mexico News Daily) (Anadolu Agency)

• Fitch affirmed Mexico’s 'BBB-' rating with a stable outlook but flagged fiscal risks from Pemex’s debt and uncertainty over Sheinbaum’s economic plan. The agency noted U.S. trade reliance, a forecasted 0.4% GDP drop in 2025, and public debt rising to 54.3% of GDP, questioning the feasibility of Sheinbaum’s "Plan México." (Proceso) (La Jornada) (Infobae) (Bloomberg Línea) (Expansión)

🇳🇮 Nicaragua

• Nicaragua’s new Foreign Investment Law No. 1240 aims to attract foreign capital but centralizes control under the Ortega-Murillo regime, raising asset security concerns. The law requires state registration and permits arbitration, with 2024 FDI at $3.4B (15.4% of GDP) but a $323.9M Q4 drop; the U.S. warns of expropriation risks amid instability. (Agenda Propia Nicaragua) (The World Law Group) (Prensa Latina)

• The U.S. imposed visa restrictions on 250+ Nicaraguan officials, intensifying pressure on Ortega’s regime for ongoing repression. Over 2,000 officials have been sanctioned since 2021, as Ortega consolidates power and international sanctions mount. (The Hill) (Reuters)

🇵🇦 Panama

• U.S. boosts military presence in Panama to counter Chinese influence over canal infrastructure under a new security deal. The agreement permits rotational troops and joint drills at former U.S. bases, excludes permanent stations, and follows BlackRock’s $22.8B purchase of HK-operated port assets, drawing criticism from China. (Infobae) (Army Recognition) (Tico Times) (IRIS France)

• Panama City is the first in Panama to accept crypto like Bitcoin and Ethereum for tax payments, signaling regional financial innovation. The city partnered with Towerbank to convert crypto to USD, modernizing services without new laws and echoing moves in El Salvador and Colorado. (La Republica) (Nasdaq) (CoinDesk)

🇵🇾 Paraguay

• Paraguay's Central Bank raises 2025 GDP forecast to 4% and keeps its 3.5% inflation target, citing strong construction, services, and livestock, but cuts agriculture growth to 0.6% due to drought-hit soybeans. Monetary policy remains steady despite regional rate hikes and temporary food inflation. (MarketData) (MercoPress) (Riotimes)

🇵🇪 Peru

• Peru’s new law forces independent media and NGOs with foreign funding to get government approval before publishing, raising major press freedom concerns. Critics say it enables state censorship, threatens editorial independence, and allows fines up to $720K, with oversight now under the presidency. (La Silla Vacía) (Amnesty International) (Human Rights Watch)

• Peru’s ex-president Ollanta Humala and his wife Nadine Heredia were sentenced to 15 years for laundering nearly $3M in illicit campaign funds, underscoring ongoing corruption woes. Humala was detained while Heredia sought asylum, both deny guilt and plan to appeal amid fallout from the Odebrecht scandal. (La Jornada) (BBC) (Al Jazeera)

• China is pushing a $10–15B rail and port project to link Brazil with Peru’s Chancay megaport, aiming to shift trade away from the Panama Canal. The Bioceanic Corridor, backed by Brazil-China agreements, would speed up exports to Asia and reshape regional trade. (El Imparcial) (Milenio) (ORCASIA)

🇻🇪 Venezuela

• Venezuelan President Nicolás Maduro has called on the "armed people," including workers and the Bolivarian Militia, to march nationwide on May 1 to display unity and military readiness amid political tensions. This comes after his disputed third-term inauguration, with critics questioning military politicization and promotions. (Infobae)

• Trump reinstates Venezuela oil sanctions and tariffs, intensifying economic strain on Maduro’s regime. The move hits Chevron and Repsol, causing currency drops, inflation, and disrupted oil exports as Venezuela depends on crude. (Bloomberg Línea) (CNN)

• The U.S. Supreme Court has paused the Trump administration’s deportation of Venezuelan migrants accused of gang ties under the Alien Enemies Act, citing due process concerns. The move follows ACLU appeals over migrants in Texas facing removal without adequate legal review, raising constitutional issues about executive power and migrant rights. (Reuters) (The New York Times) (Los Angeles Times)

🇺🇸 Miami

• Miami startups raised $900M in Q1 2025, reinforcing the city’s top 10 U.S. VC hub status amid a tough national market. With 67 deals—led by Flex ($225M), One Amazon ($105M), and Open Blue Cobia ($98.7M)—Miami made up 73% of Florida’s VC value, as investors favored large, high-quality rounds in AI and fintech despite no major exits. (Refresh Miami)

• Trump’s attacks on Fed Chair Powell, amid a Supreme Court case on firing agency heads, threaten the Fed’s political independence—a pillar of U.S. economic stability. Experts warn this could unsettle markets, raise borrowing costs, and deepen uncertainty, while legal questions remain over presidential removal powers. (Local 10) (AP News) (New York Times)

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