PayPal and Dragoneer Investment Group are investing $750m and $100m respectively in MercadoLibre, the biggest eCommerce player out of Latin America. The investments come as part of a $1.85bn equity offering from the company.

The agreement penned with PayPal will see the payments company purchase common stock, while Dragoneer purchases Series A perpetual convertible preferred stock. The remaining $1bn in stock will be made available publicly with a 30-day option for the underwriters to purchase up to $150m in additional shares. The closure of PayPal and Dragoneer’s investments are dependent on the closure of the public offering.

MercadoLibre plans to use the investment to expand its eCommerce platform, strengthen its logistics infrastructure, and invest in solutions.

“Over the past 20 years, we have heavily invested in developing the preeminent eCommerce and fintech ecosystem in Latin America,” said Marcos Galperin, CEO of MercadoLibre. “We are excited to welcome these investments which will allow us to significantly accelerate our growth. We look forward to accelerating our leadership in ecommerce and payments and foster financial inclusion in Latin America as a result of our alliance with a global leader in the industry such as PayPal.”