AVLA, a Bermudian-based global insurance group, and Creation Investments Capital Management LLC, have announced Creation's participation in a $25 million equity round to further support AVLA's international growth strategy and its plans to enter the US market.

Creation Investments, based in Chicago, is a global impact investor in emerging markets.

It said it had $2.1 billion in assets under management invested in 31 portfolio companies operating across eight countries. Creation first invested in AVLA in 2021.

AVLA said it had generated approximately $150 million of insurance revenue in 2023 and ranked as a top-five provider of surety and trade credit solutions in Latin America, with operations in Brazil, Mexico, Chile and Peru.

AVLA Re Ltd is a Class 3A insurer licensed and regulated by the Bermuda Monetary Authority.

Ignacio Álamos, the founder and chief executive of AVLA, said: “We are delighted to continue strengthening AVLA and expanding our business focused on small and medium-sized enterprises in the region.

“Following our successful entry to Mexico and Brazil, we are aiming to further expand into the United States, with the goal of reaching 150,000 clients and generating revenue of $350 million on a consolidated basis in the coming years.”

Amadeo Ibarra, Mexico country head of Creation Investments and AVLA board member, added: “AVLA is a unique growth story combining attractive profitability, strong social impact and an impressive capability to enter new markets.

“We are thrilled to invest additional capital to support AVLA's existing operations and technology as well as the company's entry into the US market.”

The equity round included participation by DEG Invest, a subsidiary of the German development bank KfW, and Altra Investments, a private equity firm based in Colombia.

AVLA is a global insurance group that provides comprehensive solutions through surety, trade credit and general insurance for businesses.

It operates in Chile, Peru, Mexico, and Brazil, supporting more than 65,000 small and medium-sized enterprises across the region.

Creation Investments said it sought the next generation of financial services firms focused on increasing access to capital and providing financial products to the unbanked and underbanked in emerging markets.

The firm aims to improve the lives of those living at the bottom of the economic pyramid, reducing poverty and its ill effects in the developing world through market-based solutions.

Creation Investments is headquartered in Chicago and has offices in Bangalore, Dallas, and Mexico City.