Antigua Guatemala, June 25, 2021

Pomona Impact Invests in Mexican Neobank Vexi

Pomona Impact has invested $500,000 of venture debt as part of a financing round in Vexi, a fast-growing Mexican neo bank that aims to address the rising middle income population in Mexico. Vexi is one of the only Mexican players that offers credit cards instead of prepaid cards while integrating the underbanked into the formal banking system, allowing customers to build credit history.

Vexi built its proprietary tech stack during 2017 and launched its first credit card in April 2018, and has since rapidly grown its users while maintaining low delinquency rates even through the difficult circumstances caused by the COVID-19 pandemic. Access to finance for underbanked individuals is a powerful avenue for poverty reduction and economic growth – therefore, Vexi is uniquely positioned to generate significant social impact and scale quickly as one of the first movers in Mexico.

Gustavo Blasquez, CEO of Vexi said, “Pomona invested in Vexi at a crucial time as we were preparing to launch our new credit card issued under the licence of American Express and ramp up growth leveraging the valuable benefits that it provides: free insurance for purchases and access to Buy Now Pay Later promotions. Pomona demonstrated creativity in the structuring of this venture debt investment that addressed our needs and aligned interests. We value their support.”

Rich Ambrose, Managing Partner of Pomona Impact said, “While we value the tech-enabled engagement with customers, high customer satisfaction, and multi-pronged growth strategy, we feel one of the biggest differentiators of the Vexi team is its vast experience in credit portfolio management – and it’s well reflected in the quality of it’s portfolio performance.”

In combination with the credit card itself, Vexi offers a user-friendly mobile app which allows clients to see helpful reports of their transactions, allowing them to take control of their money and plan accordingly. Vexi offers extreme protection for internet purchases integrating a dynamic Digital Credit Card which can be refreshed by the customer when needed. The customer can set different amounts of authorized transactions and can turn on and off the Credit Card.

Finally, Vexi’s business model allows performing customers to increase their credit limit using a graduation scheme, incentivizing them to make repayments on time and in full. Vexi offers an accessible, lower-cost solution compared to informal lending that is typically one of the few options available for the underbanked population. With its fast growing customer base in mind (affectionately referred to as “Vexicans”), Vexi is determined to continue innovating and improving on its offerings provided through its platform.

About Pomona Impact

Pomona Impact is a multi-pronged organization that manages two investment funds and multiple acceleration programs, and aims to support the development of the entrepreneurial ecosystem in Central America, Mexico, Colombia, and Ecuador. After making more than 20 investments through its Pilot Fund, it recently launched Pomona Impact Fund II to profitably invest in small growing businesses that are generating solutions to social and environmental challenges with a focus on agricultural processing, basic goods and services, and digital economy. Through the Pomona Impact Foundation, it manages two successful accelerator/incubation programs, Green Tech Incubation program in Costa Rica and regional AgTech Accelerator, to facilitate the development and growth of early-stage enterprises.

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