Chilean Paytech startup Koywe has announced the acquisition of Facto, a move that will expand its presence in the US.
The acquisition also comes 15 months after Koywe raised $2.5 million in a Seed funding round in January 2023. The terms of the acquisition were not disclosed.
The acquisition strategically positions Koywe to leverage Facto’s expertise, particularly that of its founder, Mickle Foretic, who has extensive experience with the US Federal Reserve’s Business Payments Coalition.
Koywe aims to use this expertise to launch a new invoicing standard in the United States, targeting a significant expansion into the U.S. market.
Koywe, known for its innovative approach to cross-border payments utilizing cryptocurrency, is poised to enhance its service offerings by integrating Facto’s technology, which assists small and medium-sized businesses (SMBs) in integrating their online sales tech stack with standardized payment and invoicing solutions.
Ignacio Detmer, co-founder of Koywe, expressed the strategic intent behind the acquisition, stating:
Together we have a much better chance of winning a fight in the United States, which is big. In the end, an entrepreneur’s ambition is to say ‘you know what? Let’s go for the jackpot’, and the jackpot for someone who was born in Chile is to have a successful company in the United States that connects all of America.
This acquisition marks a significant step for Koywe as it seeks to expand its footprint in the lucrative US market, which represents a major milestone for any foreign tech startup aiming to establish a presence in the region.
The integration of Facto’s technology is expected to enhance Koywe’s product suite, offering more comprehensive solutions that cater to the complex needs of businesses operating across borders, according to the announcement.
Koywe’s venture into the U.S. market underscores the broader ambitions of Latin American tech companies to make a mark internationally, particularly in sectors like financial technology that are ripe for disruption by agile and innovative startups.
