Ep. 55: dmX secures US$50 million from the IFC, and a deep dive on Femtech
Welcome to Miranda Scenius: Your weekly newsletter on technology, innovation, and startups in Mexico.
When discussing credit opportunities in Mexico, the age group of retirees and pensioners is often overlooked. However, the team at dmX, backed by the IFC, are now addressing this "silver economy" niche.
Links between Mexico and Colombia are getting stronger in the tech world, and some Colombian startups are taking the acquisition route to expand into Mexico. Puntored exemplifies this trend, and we anticipate more of the same in the future.
This week’s deep dive centres on the FemTech sector. It's a regrettable fact that in Mexico, women often face inequality and serious safety issues in many aspects of their lives, with healthcare being no exception. The emergence of FemTech seeks to address these disparities and champion change!
Follow The Money
dmX Secures US$50 million from IFC
The International Finance Corporation (IFC) has granted a loan of US$50 million to the FinTech, to broaden access to credit for the country's retirees and pensioners. Given the rapidly ageing population in Latin America, the investment aims to support the "silver economy", with a focus on those still working past pension age to meet essential needs. As per national data, only 38% of Mexicans aged 60 to 70 receive some type of credit.
Sector: FinTech
Founders: Juan E. Clariond
Investors: International Finance Corporation (IFC)
Startups News
Vexi reaches a new milestone by approving over 1M credit cards
According to the company, it is especially noteworthy that 61% of Vexi's customers choose them as their first credit card. This data demonstrates the positive impact FinTechs can generate by offering fair and responsible access to credit for those who previously had no viable options. Vexi is working on removing barriers and opening doors to build an inclusive financial future in Mexico.
Accelerators - M&A News
Colombian Puntored acquires Mexican GestoPago
The move is part of Puntored's strategy to target Mexico's large population without access to a bank. GestoPago, which handles approximately 10 million transactions monthly, will remain under the leadership of the founding team. The acquisition allows Puntored to solidify its Mexican presence and plan for further brand expansion in the region. This expansion comes during a time of significant growth in the Mexican fintech ecosystem.
AWS launches its first Global Fintech Accelerator
The program is seeking 150 FinTech startups from regions including Latin America that utilize artificial intelligence (AI) and machine learning (ML). Participants will undergo a six-week remote program offering tailored business and technical mentorship and receive up to $25,000 in AWS Activate credits, among other benefits.
Applications are open from June 27 to August 14, 2023 here.
Rest of the World
Chilean logistics startup, Pallet Parking, expands to Mexico
The collaborative warehousing solution utilizing idle spaces in other companies' warehouses, is setting out to conquer North America following a US$ 1 million investment round. One forgets, but Mexico is indeed a key part of North America. The company's plan is to go "step by step", and from Mexico expand to other markets such as Colombia and Peru.
Chilean Desafío Latam announced its physical expansion into the Mexican market
The EdTech startup has trained more than 10,000 students in IT, raised US$1 million in investment, and generated over $10 million in sales with its online programs. The company plans to help close the growing IT skills gap by offering intensive training programs and preparing students for real-world employment. The launch of Desafío Latam in Mexico is timely when, according to recent studies, more than 85 million jobs will not be filled due to lack of IT skills by 2030.
Chilean Regcheq secures US$2M for expansion into Mexico
Regcheq is a compliance-focused Software as a Service (SaaS) founded in 2021. The investment will support its entry into the Mexican market. Having already accumulated 200 customers, Regcheq recently expanded its operations to Mexico following the acquisition of Mexican compliance firm UBcubo.
Revolutionizing Women's Health in Mexico: The Rise of Femtech
52% of Mexico’s population is female, yet across the board, women are not treated as equals in Mexico and face serious safety issues and unequal treatment in many areas of their lives. Healthcare is no exception. In Mexico particularly, indigenous women struggle even more to receive adequate treatment, as a 2022 study showed that coverage was lower for undergoing a mammogram and receiving contraceptives. In areas with more than 40% female indigeneity, modern contraceptive use was at 39% in comparison to 51% in areas with less than 10% indigeneity.
Femtech, short for female technology, aims to combat this imbalance in care and encompasses a wide range of innovative products, services, and technologies designed to improve women's health and well-being. From period trackers and fertility apps to breast cancer detection tools, FemTech is revolutionizing the way women manage their health and gain greater control over their bodies.
In Mexico, Femtech is a varied landscape with consistent innovation. There has been much talk about Plenna, which seeks to improve healthcare for women and remove the social stigma surrounding women’s health. In December of last year, it secured US$4.4 million in a seed funding round to grow its hybrid healthcare platform, which offers in-person gynecological services and a range of virtual forms of care, including treatment for mental health, nutritional advice, and also primary care services. Another startup that is breaking ground in Mexico is SinReglas which provides greater information about menopause, which is still considered a taboo topic.
Democratizing healthcare, from virtual treatments to access outside of institutions, is where Femtech can flourish and pave the path for a more equal and diverse future in Latin America.
See you for the next edition. Have a question or any feedback? Just hit reply. We'd love to chat!