Mexican fintech Clip lands $50m credit facility from top banks
Mexican digital payments and commerce platform Clip has secured a $50 million three-year unsecured revolving credit facility with Morgan Stanley, JP Morgan and HSBC.
Clip says it will use the facility to “improve financial access” for Mexican businesses and consumers.
Founded in 2012, the start-up says it intends to drive financial inclusion in Mexico by providing small and medium-sized businesses (SMBs) access to digital payment solutions.
Clip claims over 75% of its customers transacted with “cash only” before joining its platform.
“This credit facility represents another important milestone for Clip, as it provides additional support to our already solid balance sheet and liquidity position,” says founder and CEO Adolfo Babatz.
“It is important for Clip and our story to receive the support of banks of this calibre, validating our mission of expanding financial inclusion in Mexico.”
Last month, Clip received approval for an IFPE (Institution of Electronic Payment Funds) licence from Mexico’s National Banking and Securities Commission (CNBV). The licence was obtained through Clip’s acquisition of payments platform Swap, giving the firm the ability to open and hold customer accounts with electronic balances and provide wire transfer services and issue debit cards.
In June 2021, Clip raised $250 million in a SoftBank-led investment round that pushed the company’s valuation up to $2 billion.