Rappi will stop operating in Baja California

This decision has been made considering the reforms recently approved as excessive, which authorize prison terms for drivers

One of the food and product delivery companies recently arrived in Baja California, however, Rappi is saying goodbye today, as he announced that he will stop operating in the state.

This decision has been made considering the excessive entry into force of the reforms that authorize prison terms for drivers and promoters of digital platform transport companies in the State if they are not registered with the Institute of Sustainable Mobility and Transport.

Through an official statement, the company announced that ” the published decree imposes penalties on drivers and companies that do not have the permits issued by the aforementioned Institute, going as far as to include prison sentences, for this reason, we are forced to suspend operations in the state of Baja California from Tuesday, July 23, 2020, until further notice.

The statement continues stating the following: “ Rappi is a company that operates in strict compliance with the laws of all the states and countries in which it carries out its activities; however, it seems to us that imposing prison sentences on economic activity is an action that violates constitutional principles and represents a disproportionate action by the state government. ”

The company will keep updates on any progress in the actions they are going to take and the solutions they can offer in this situation.

Rappi and Banorte announce alliance to offer digital financial services

Grupo Banorte and Rappi have announced an alliance to create a company that offers digital financial services

Banorte y Rappi

Reuters.- Grupo Financiero Banorte and the digital delivery platform Rappi announced on Tuesday the creation of a digital financial services company in which each will have a 50% stake.

The alliance, subject to the approval of the financial and competition authorities, would initially be focused on Rappi’s clients.

“This operation is aligned with Banorte’s digital and technological strategy where, in addition to providing digital banking and financial services to its clients, (…) it seeks to be present (…) and gain penetration in the digital financial services sector,” he stated. the bank in a statement sent to the Mexican Stock Exchange.

A spokesperson for the Rappi company later told Reuters that the new partnership with Banorte will only operate in Mexico. Rappi, with headquarters in Colombia, has a presence in more than 100 cities in nine Latin American countries.

For his part, Banorte said that it promised to make up to 4,000 million pesos (178.6 million dollars) available to the new company within 18 months, of which 3,000 million pesos are subject to performance metrics.

Rappi has experienced a high rising. Currently it has more than 15 million users in Latin America, Rappi emerged four years ago in Colombia with the home delivery service for supermarket products and the next step was to incorporate restaurants.

Those two sectors are to date the two main pillars of the app, but little by little other businesses, such as pharmacies and convenience stores, were being integrated.

Lanza Rappi nuevo medio de pagos electrónicos

A world class team!

Rappi is a C-Series high-growth consumer Mega Startup that seeks to be the store of all of Latin America. We are a marketplace that connects users who want to buy prepared food, groceries, clothing, and pretty much anything with independent contractors who can meet those needs. Although we are a new company and we really live the reality of startups, we are already operating in Colombia, Mexico, Brazil, Argentina, Uruguay, Chile, Peru, Ecuador & Costa Rica and we want much more.

Source: forbes.com.mx, sandiegored.com

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