The demand for access to credit and digital banking infrastructure is generating major fintech growth in Mexico

The enterprise fintech startup’s deal showcases renewed interest from global investors in Latin America.

Several Latin America-based startups have pulled in lots of investor capital, vaulting to unicorn status.

Since Silicon Valley Bank’s meltdown on Thursday morning, more than 400 startups in Latin America seeking a new home for their international banking needs have fled to a single Brazilian fintech startup called Trace Finance.

SoftBank was involved in more than a third of VC investment in the region since 2019. Its caution in 2022 is part of a widespread investor retreat.

Despite the market downturn, the 23-year-old Headline just raised the largest pool of capital in the firm’s history.

Rajeev Misra, CEO of SoftBank’s Vision Fund, is expected to oversee the firm’s Latin America team following the departures of Latin America fund chief Marcelo Claure and fund managing directors Shu Nyatta and Paulo Passoni.

The next challenge for Jeeves and its ilk: How to go from a corporate card disruptor to the go-to bank for fast-growing companies.

Following a blockbuster IPO for Brazil’s Nubank late last year, a lot is riding on Latin America’s remaining IPO candidates.

Venture activity in Latin America has skyrocketed, with $14.8 billion invested this year—more than in the previous six combined. Digital adoption during the pandemic helped drive the surge, but it’s far from the only factor.

Undaunted by the recent contraction of the Brazilian economy and steep interest rate hikes, digital bank Nubank priced its shares at the top of its revised target range to raise $2.6 billion.

Ecommerce company Merama, an aggregator of online brands, has attracted $225 million at an $850 million valuation from Advent International and SoftBank.

SoftBank has launched its second Latin America-focused fund with $3 billion in commitments, as venture investing booms in the region.

VCs have invested $8.8 billion in Latin American startups this year, as investors chase the digital transformation of sectors including fintech, real estate and ecommerce in one of the world’s busiest markets.

The rise of fintech innovation and demand for online banking tools amid the pandemic has propelled Latin America to undergo a digital transformation.

Platinum Equity has closed its fifth flagship fund on $10 billion, the largest pool of capital in the Los Angeles-based firm’s 25-year history.