Klar, a recently established digital bank operating from Mexico City, represents Prosus Ventures’ (previously known as Naspers Ventures) initial significant investment in Latin America beyond Brazil.

The company was founded by Stefan Moller, a former consultant with Bain & Co. who specialized in advising major banking institutions. Klar integrates Moller’s professional background in Mexico with his network within the German banking sector and the technical expertise of the team at n26, a Berlin-based company, to deliver a challenger bank providing both deposit and lending services to customers in Mexico.

According to Moller, the financial services sector in Mexico is significantly lacking in adequate provision. He notes that only 10% of Mexican adults possess a credit card, which he identifies as a relatively inexpensive form of consumer credit.

Consequently, Klar began operations last year by offering both credit and debit products. Currently, the company serves 200,000 banking customers, with approximately 27,000 of them having obtained loans through the bank. The average loan amount is around $110, as stated by Moller, and carries an annual percentage rate of 68%. 

While this interest rate may appear excessive, particularly when compared to standards in the United States, it reflects the prevailing conditions in Mexico. In the U.S., typical credit card interest rates range from 16% to 24%, based on WalletHub data. Moller indicates that the standard interest rate in Mexico is 70% (explaining the limited credit card ownership among adults).

Despite this, the potential for expanding credit and debit services attracted Prosus, leading their investment in Klar’s Series A funding round. Other participants in the round included the International Finance Corporation, as well as existing investors Quona capital (which spearheaded Klar’s seed funding), Mouro Capital (formerly Santander Innoventures), and aCrew.

Banafsheh Fathieh, a principal at Prosus Ventures who oversaw the investment, anticipates that this commitment to Klar will be the first of numerous investments her firm makes in the region—spanning both fintech and Mexico’s broader technology landscape.

Prosus has a reputation for making early-stage investments in emerging technology companies within developing markets. Notably, its parent company was an early investor in Tencent, a decision that has yielded substantial returns.

Prior to this investment, Prosus had focused its Latin American activities on technology companies based in Brazil, such as Creditas and Movile.

“Prosus Ventures collaborates with entrepreneurs who are addressing significant societal challenges through technology, with a localized approach. We invest in economic sectors where technology can drive substantial improvements in consumers’ lives. Klar has pinpointed a substantial unmet need in the Mexican financial market and provides a distinctive solution through its credit and debit offerings,” Fathieh stated. “In under a year, the team has demonstrated the ability to construct a top-tier digital bank for a wide audience, prioritizing financial access and inclusion. We are thrilled to support them in this endeavor.”