PayPal and Dragoneer have both agreed to invest stocks in MercadoLibre, each offering $750 million and $100 million respectively. These actions follow MercadoLibre’s decision to offer common stocks to the public.
MercadoLibre, the leading e-commerce technology in Latin America and is based in Argentina, aims to grow its business outside of the country, reports Tech Crunch. More than expanding their reach, the company hopes to improve the overall functionality of its services, website, and its online platform. According to Tech Crunch, the corporation is also looking to invest in other financial technologies that can help it further their reach.
According to Yahoo News, the leading e-commerce platform has announced a secondary common stock offering of $1 billion. Underwriters who are willing to purchase stocks and shares under the company will be given 30 days to buy up to $150 million in additional shares.
The PayPal and Dragoneer investments are slated to commence if the public offering pushes through. However, it appears that both companies greatly trust MercadoLibre, with PayPal providing a separate announcement on its website.
The payments company is confident that their partnership and investment with Argentina’s leading e-commerce system will yield great results. Apart from integrating new features onto the e-commerce platform, PayPal also looks forward to providing innovative payment experiences for the consumers.
Furthermore, the company is also positive that it will foster financial inclusion in the whole of Latin America, especially after partnering with big names and business in the industry. Garnering impressive support from notable institutions, Yahoo! News notes that MercadoLibre is expected to rival Amazon.