Colombia’s Addi secures $630m financing

Addi secured a $150 million credit facility led by JP Morgan and Fasanara Capital, the marked the first warehouse-style structure JP Morgan has executed for a Colombian company, and a milestone that opens doors for the region's entire fintech ecosystem, according to law firm Cuatrecasas, which advised Addi on the financings.

 Addi also signed a portfolio purchase agreement worth 174 billion pesos ($50 million) with Goldman Sachs International Bank, the institution's first such deal in the country.

 As part of this ongoing advisory role, Cuatrecasas participated in the expansion of a financing facility provided by Goldman Sachs Bank USA and Fasanara Investments for 939.7 billion pesos (around $235 million); a financing arrangement with BBVA Spark for 151 billion pesos (approximately $35 million); a revolving credit facility with BBVA Colombia for 12 billion pesos ($3 million); and a $ 150 million financing deal through funds managed by Victory Park Management, including a tranche provided by the NB Asset-Based Credit Fund.

 These transactions underscore the confidence international and domestic banks have in the business model of Addi, a company that, following four consecutive quarters of profitability, has surpassed $150 million in annual recurring revenue, according to Cuatrecasas.

Through its drive for financial innovation, Addi has brought digital credit solutions to over three million customers, partnering with 55,000 merchants across 1,034 municipalities in Colombia. This translates to credit access and financial empowerment in areas where traditional banking has not reached. As a result of these efforts, Fast Company ranked Addi among the top three "World’s Most Innovative Companies"—a recognition that validates a user-centric business model built for responsible scaling.

Cuatrecasas finance partner Juan Carlos Puentes in Bogotá and leader of the advisory team for these transactions, stated: "Over the years, we have supported Addi in various transactions that have enabled it to scale its business model sustainably. We congratulate our client and the local and international financiers who have placed their trust in the company's ability to facilitate access to credit for millions of Colombians through agile, secure digital solutions".

 “This far-reaching work reflects the profound transformation Colombia is undergoing in how millions of people access credit, and companies like Addi demonstrate that financial innovation and social inclusion go hand in hand. At Cuatrecasas, we are proud to be part of this story,” he added.

 The multidisciplinary Cuatrecasas team involved in these advisory engagements was led by Juan Carlos Puentes, with support from Lorenzo Lizarralde, Verónica Hernández, Juanita Calderón, Daniel Valderrama, Pablo Amorocho, Juliana Álvarez, María Garavito, and Susana Liévano (finance); Rafael Marulanda, Alejandro Manrique, and María Camila Solano (corporate); and Jaime Vargas, Ariana Fernández, and Oswaldo Pacheco (tax).