Kavak raises $127M in down round, drops valuation to $2.2B

Kavak raises $127M in down round, drops valuation to $2.2B

Mexican used car platform Kavak raised $127M in equity funding at a $2.2B valuation, down from $8.7B in 2021. SoftBank and General Atlantic co-led the round, which closed in March 2025. Kavak also secured $400M in debt from Goldman Sachs and HSBC to expand lending through Kuna Capital, its financing arm. “My opinion on ‘up rounds’ and ‘down rounds’ is simple: entrepreneurs should focus on developing the long-term potential of their company and …

The Mexican platform of semi-new vehicles, Kavak, saw its market value drop from $6.5 billion to $2.2 billion in its last round of financing. The dealer managed to raise $127 million in a round of capital that closed in March, allowing it to obtain two lines of credit of $200 million: one from Goldman Sachs and the other from HSBC Holdings. According to Carlos García Ottati, founder of the company, SoftBank and General Atlantic co-directed the c…

The valuation of Kavak, a Mexico City-based online used car dealer and LATAM's most valuable startup, was cut by $6.5B to $2.2B in a $127M equity round in March

Michael O'Boyle / Bloomberg: The valuation of Kavak, a Mexico City-based online used car dealer and LATAM's most valuable startup, was cut by $6.5B to $2.2B in a $127M equity round in March  —  The valuation for Latin America's most valuable startup was cut, by $6.5 billion, to $2.2 billion in its most recent funding round.