Mercado Libre, one of the leading e-commerce companies in Latin America, will invest this week in Argentina, Brazil and Mexico, some of the $ 800 million of funds raised in a debt problem, said Sean Summers, vice president of the Marketplace. from the company.
Mercado Libre placed a 10-year bond with a rate of 2% per annum, convertible into equities, in a time of strong turbulence in emerging markets, according to Reuters.
Lee Mercado Libre lends money to Mexicans in 2019
Part of the money will be used for the repurchase of a bond issued in 2014 for $ 300 million. The rest will be invested in improving the free shipping process, in the construction of more storage and distribution centers and in improving digital payments, explained the management.
The investments "are mainly distributed in our three main markets, Brazil, Argentina and Mexico, which is where we concentrate most of the investments," Summers said in an interview from Panama.
"This placement of the bond is a sign of confidence in the company, in industry and in the region, which, despite the macroeconomic fluctuations that exist in the different countries of the region, made a lot of sense in the bond," he added.
Mercado Libre, dedicated to purchases from registered users of its online store, sales and payment service, already has distribution and logistics centers in Mexico and Brazil and is building one in Buenos Aires, which will start in early 2019. .
"There is still a great opportunity to improve and reduce the delivery times that exist today," Summers explains.
"That is why we decided 12 months ago to make these investments in order to enable users to benefit from a better service with this new infrastructure," he added.
The company, founded by billionaire Marcos Galperín, will launch Mercado Fondo in late September or early October, an application that enables the investment of electronic wallet resources in savings options to generate profits.