Kavak will invest 8 billion pesos in Mexico
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The Mexican unicorn Kavak announced an investment of 8 billion pesos to boost the national economy during the second half of 2021. The startup for the online buying and selling of pre-owned cars in Latin America also announced that Alejandro Guerra from Monterrey is appointed general director of the brand in Mexico .
With this new investment, Kavak will carry out an initial generation of 500 jobs and an increase in vehicle reconditioning capacity of 40 thousand cars in the second half of the year.
“From his beginnings in Kavak, Alejandro understood that our vision is not limited to buying or selling cars, but to strengthening citizens, through access to vehicles and greater financial inclusion, so we decided to place all our trust in that it will fulfill the mission of consolidating the automotive revolution in the Mexican market ”, stated Carlos García Ottati , CEO of Kavak.
According to a company statement, these actions will reinforce the economic movement of the national automotive sector by increasing the rotation of the vehicle fleet, which will strengthen various industries by increasing the demand for inputs, infrastructure, raw materials and human working capital, to the execution of purchase, sale, reconditioning and financing of pre-owned cars in the country.
With this operational impulse, Alejandro Guerra will lead the formalization of the pre-owned car market, by increasing the demand for the purchase and sale of units at competitive prices, based on artificial intelligence algorithms, and processes that have managed to eradicate crimes such as fraud, theft and kidnapping, by eliminating dealing with third parties, and guaranteeing fully reconditioned cars with a guarantee in case of any eventuality.
“Mexico begins a stage of economic recovery and we want to add our support in the reactivation of the industry in the country; With this investment, we will create jobs and continue to promote the formalization of this market, with safe processes for users when buying and selling a car, with more financing options, so that everyone has access to a car without fear of compromising their pockets or their security ”, stated Alejandro Guerra Escamez, general director of Kavak México.
This appointment is in addition to others appointed by Carlos García in the various Kavak operations in Latin America, such as Jaime Macaya for Argentina.
Four years after its founding, the platform for the sale of pre-owned vehicles exceeded the value of one billion dollars thanks to its most recent round of capital investment in September 2020 to become the first unicorn in Mexico.