Day: July 24, 2020

Dollar bonds up more than 10%

Since Argentina launched the last official offer until today, dollar bonds performed positively, rising more than 10% weighted. In stocks, we see a more than exciting rise: Merval grew 22% in pesos and 17% in dollars. Among the Argentine shares quoted on Wall Street, instruments grew up to 35.5% in the month (Banco Supervielle). Irsa, meanwhile, grew 32.6% in July.

Mercado Libre will invest another $27 million in Mexico

In the same day, the company received praise from the British weekly The Economist and announced a $27 million investment in Mexico to open a distribution centre similar to the one it has in La Matanza in the state of Jalisco, with a capacity of 60,000 square meters, half of which will be operational in November. Yesterday the share value was parked at $982.30, with a fall of 3.47%, which placed its value at $48.83 billion. Mercado Libre continues to be the Argentine company with the highest valuation in the world.

MercadoLibre is a wannabe Alibaba

The pan-Latin American e-commerce and fintech firm’s market value has doubled to $50bn during the pandemic as it has provided online sales and payments lifelines to vulnerable companies. Since it was founded in it has become the region’s biggest tech darling, even though in 2020 revenues are projected to be just $3.2bn and it will lose money for a third year running. Profit, though, is for the future. Meanwhile, it is part of a wave of digital disruption that may propel smaller firms—which make up about 80% of those using its platforms—into the modern era. Its e-commerce business earns a fee from transactions between buyers and sellers on its platform.