Amazon acquires a stake in Colombian delivery company Rappi

According to Bloomberg, which cited unnamed sources familiar with the deal, the Colombian home delivery startup Rappi has been acquired by the massive American e-commerce retailer Amazon.

According to the cited source, the original investment was made through a $25 million convertible note, which grants Amazon the opportunity to purchase up to 12% of Rappi. However, the source also stated that these numbers could alter.

Through the transaction, Rappi would be able to take advantage of the vast logistics networks and cloud computing capabilities of the Jeff Bezos-founded company. Additionally, Amazon might be able to strengthen its position in Latin America in order to compete with MercadoLibre. Santander Bank and Kirkoswald Capital Partners, a multifunctional services firm with operations in Argentina, Brazil, Chile, Mexico, Peru, and Uruguay, provided the business with a $100 million loan in August.

In August, the business obtained a $100 million financing from Kirkoswald Capital Partners and Santander Bank to repay debt and grow in Latin America, mainly in Mexico. According to its top officials, it may list on the New York Stock Exchange this year.

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