Kavak, the Mexican company that seeks to transform the pre-owned car market in Latin America, announced a new capital injection of US$ 300 million. The round was led by Andreessen Horowitz, a firm that allocated US$200 million.
WCM Investment Management co-led the operation with Andreessen Horowitz, with Lingotto Innovation, Foxhaven, Galdana Ventures, Stelac and Allen & Company joining as additional participants. The round and investor profiles reflect renewed confidence in the potential of the regional technology ecosystem.
The resources will allow the company to strengthen its financial position, expand access to credit for its users and accelerate the development of artificial intelligence solutions aimed at making its internal processes more efficient.
2025 the year of Kavak
Kavak closed 2025 with nearly 120,000 completed transactions, an increase of 40% compared to the previous year. More significantly, in December it achieved its first full month of consolidated global profitability, a milestone that validates years of construction and strategic adjustments in a complex market.
The company operates in a sector historically marked by mistrust and informality. Its proposal is to transform the experience of buying and selling a used car, by combining technology, standardized inspection and accessible financing to offer real guarantees to both parties of the transaction.
Fintech as a second engine
Beyond vehicle intermediation, Kavak has developed a financial services division that is becoming increasingly relevant within the business. During the last quarter of 2025, this unit placed an annualized volume of US$600 million in credit, targeting a segment of the population that has difficulty accessing traditional bank financing for the purchase of vehicles.
This commitment to credit is not accidental: in markets like Mexico and other Latin American countries, most people need financing to purchase a car, and the conditions offered by conventional banks are usually uncompetitive or simply inaccessible.
The return of global capital to LATAM
Andreessen Horowitz’s decision to make its largest single investment in the region through Kavak sends a clear signal to the market. After years of greater caution on the part of global funds, companies that demonstrate sustained growth and real profitability are once again capturing the interest of large investors.
With new capitalization, proven profitability and a growing commitment to artificial intelligence, Kavak faces 2026 with favorable conditions to consolidate its leadership and continue expanding in the emerging markets where it operates.
