Uruguay-based cross-border payments processor dLocal has received $200m funding, which brings the company’s valuation to $1.2bn.

The funding round was led by existing investor General Atlantic – a global growth equity firm – and joined by a recently launched investment firm called Addition.

Through the latest funding round, dLocal has become the first company to secure its unicorn status in Uruguay.

The fintech firm will use the fresh funds to expand into 13 new markets over the next 18 months, including Central America, Africa, and Southeast Asia.

The company will also improve its product offering to cater to the needs of global merchants.

Founded in 2016, dLocal is a cross-border payment processor.

The company caters to 450 merchants in 20 countries and has connectivity to over 300 alternative payment methods.

dLocal counts Amazon, DiDi, Gearbest, Nike, Shopify, Spotify, Uber, Visa/Earthport, and Zara as its global customers, among others.

dLocal CEO Sebastian Kanovich said: “Beyond securing unicorn status and becoming one of the highest-valued Latin American financial technology companies supporting global merchants, we are expanding access and helping those in emerging markets connect to e-commerce, building reliable payment technology tailored to specific local needs, constantly improving our products and growing our global footprint.

“Adding new investors of Addition’s caliber is a testament to dLocal’s long-term potential. We are excited to welcome them to our team and look forward to their support as we drive new product development and market expansion.”

Earlier this month, Spotify began using dLocal’s 360 payment platform to offer subscription payment options in certain South American markets.

Last month, dLocal enabled Zara to accept credit card payments with the option of monthly installments, in Uruguay and Paraguay.

In April, dLocal’s payments solution became fully compatible with Google Pay wallet.

In January this year, Amazon and dLocal partnered to enable localised payments in Chile.