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MercadoLibre To Raise $1.85 Bln In Equity Offerings

MercadoLibre, Inc. (MELI), Latin America's leading e-commerce technology company, announced that it intends to offer approximately US$1 billion of common stock.

MercadoLibre also intends to grant the underwriters a 30-day option to purchase up to $150 million of additional shares of common stock.

In addition, MercadoLibre has entered into an agreement pursuant to which PayPal has committed to make a $750 million strategic investment through the purchase of common stock.

In a separate agreement, an affiliate of Dragoneer Investment Group has agreed to purchase $100 million of Series A perpetual convertible preferred stock. The PayPal and Dragoneer investments are contingent upon the closing of the public offering and are expected to close at the same time or shortly after the public offering.

The company intends to use the proceeds to continue expanding its e-commerce platform, to strengthen its logistics infrastructure, and to invest in solutions that further solidify the company's position as a powerful provider of inclusive end-to-end financial technology and payments solutions.

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