Kapital, a dynamic global bank and tech platform, has announced a significant financial raise, securing a total of $165 million in funding.
This includes a substantial $40 million Series B equity financing and a notable $125 million debt raise. Leading the charge in this oversubscribed Series B round was Tribe Capital, with notable participation from Cervin Ventures, Tru Arrow, MS&AD Ventures, and Alumni Ventures, among others.
At its core, Kapital is redefining the financial landscape for small and medium-sized enterprises (SMEs). The firm leverages advanced data analysis and artificial intelligence (AI) to deliver enterprise-level technology solutions. These solutions, typically reserved for large corporations, include comprehensive services such as loans, credit cards, invoicing, expense management, and now extending to payroll, benefits services, and treasury accounts.
The recent infusion of funds is earmarked for significant investments in research and development and further enhancement of Kapital’s tech platform. Specifically, the focus will be on strengthening its cross-border offerings and expanding its product suite to provide deeper insights for its customers. Kapital is already making strides in this direction, using AI for loan underwriting and predictive analytics to assist SMEs in improving their financial margins.
Since its last funding announcement in May 2023, which included a $23 million Series A round and a $45 million debt facility, Kapital has shown remarkable growth. This growth trajectory was further bolstered by the acquisition of Banco Autofin Mexico S.A. in September 2023. This move has enabled Kapital to build a more vertically integrated tech platform, solidifying its position in the market.
Rene Saul, CEO and Co-Founder of Kapital, shared his enthusiasm for the company’s future, stating, “Our recent funding round will propel us forward as we embark on an exciting expansion across Latin America and beyond. Over 80,000 customers already entrust us with the financial health of their businesses, and we are introducing more AI-driven products while pushing into new markets.”
Echoing this sentiment, Arjun Sethi, Chairman and CIO at Tribe Capital, praised Kapital’s achievements, saying, “Kapital is punching way above its weight. So many financial platforms raise billions before achieving this level of success: They’ve not only achieved venture-scale growth in a fraction of the time, but they’ve also done so profitably. And they’re just getting started: Kapital is in Latin America today, but the potential of the platform and the company’s growth aspirations are very much global. I can’t wait to see them grow from $100 million run rate revenue to $1 billion of revenue over the coming years.”
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