Mirae Asset, Naver, Square Peg and others invest into the growth of Kredivo and the rising demand for financial services in the region
Singapore, 3 Dec 2019 – Singapore-headquartered FinAccel, a financial technology company that enables Indonesian consumers to buy online and pay later under the brand Kredivo, has raised US$90m in a Series C equity funding round to expand in Indonesia and the region. The round was jointly led by Asia Growth Fund (a joint venture between Mirae Asset and Naver) and Square Peg. This funding round brings the total capital raised by the company in 2019 alone to more than US$200m, across both debt and equity, with the debt being provided by a consortium of lenders including banks and credit funds.
This funding round, which has already closed, will further propel the tremendous momentum that the company has enjoyed in the past years, with a presence at the checkout of most of the top Indonesian ecommerce merchants and transaction value growing at >300% per annum accompanied by bank-like risk metrics. FinAccel plans to use the funds to double down on growth in the region, hire talent, and expand its range of financial services dedicated to creating a generation of financially savvy customers in Indonesia and the rest of Southeast Asia. Other investors participating in the over-subscribed Series C fundraise include Singtel Innov8, TMI (Telkomsel Indonesia), Cathay Innovation, Kejora Intervest, Mirae Asset Securities, Reinventure, DST Partners and others.
Commenting on the transaction, Akshay Garg, CEO of FinAccel, said “We are very excited to have Mirae Asset and Naver join our growth journey. These highly entrepreneurial companies bring deep domain expertise in financial services and consumer internet, Kredivo sits at the intersection of both areas. Additionally, we are very pleased that our incoming investors share in our vision of building a wide set of financial services that are fast, affordable and accessible for millions of customers in the region.”
Jikwang Chung, Managing Director of Mirae Asset Capital, the strategic investment arm of Mirae Asset, said, “FinAccel is an exceptional company, one that combines a strong technology DNA with top-tier risk management and a bold vision of financial inclusion. Today, we are witnessing the rapid advancement of technology-led disruption of financial services and we see FinAccel as one of the leading companies in this area.”
Tushar Roy, Partner at Square Peg, said, “We have been really impressed with the team’s progress since we invested last year, and it was an easy decision to support strongly again. It is rare to find such a strongly values-led and culture-focused company in the region that is also experiencing tremendous growth while improving the financial services ecosystem.”
Since inception just over 3 years ago, FinAccel has evaluated more than 3 million applications, disbursed nearly 30 million loans and created one of the largest credit based payment platforms for ecommerce in Indonesia. Aligned with the Indonesian government’s goals around increasing access to financial services for the country’s vast and fast growing middle class, FinAccel aims to serve 10 million users in the next few years through Kredivo and other financial services. Near-term plans include the rollout of low-interest education, healthcare and Shariah loans and partnerships with banks for joint product development.
Redpeak Advisers acted as the exclusive financial adviser to the company for the Series C equity transaction.
FinAccel is a financial technology company focused on making financial services fast, affordable and accessible for the under-banked population of Southeast Asia. Kredivo, whose technology platform is exclusively powered by FinAccel, is the leading digital credit platform in Indonesia that gives customers instant credit financing for ecommerce purchases and personal loans at competitive interest rates. Kredivo’s merchant partners benefit from instant point-of-sale financing and high settlement rates, powered by Kredivo’s proprietary checkout that takes as little as 0 clicks to settle a transaction. The company is backed by leading venture capital firms and corporate investors such as Mirae Asset, Naver, Square Peg, Jungle Ventures, OpenSpace Ventures, Telkom Indonesia, Singtel and GMO, among others. To know more about FinAccel and Kredivo, visit www.finaccel.co and www.kredivo.com.
About Asia Growth Fund
Mirae Asset-Naver Asia Growth Fund (“AGF”) is a joint venture fund between Mirae Asset Financial Group and Naver Corporation. Mirae Asset is a leading financial group in Korea with wide coverage throughout the globe while Naver is the largest internet company in Korea and also the controlling shareholder of LINE. AGF is an Asia dedicated growth capital fund and focuses on companies in the growth stage that can lead technology enabled disruption in the region.
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