Kredivo Get Series B Funding More Than IDR 435 Billion, Prepare for Regional Expansion

Fintech startups engaged in services online lending FinAccel (using product name Kredivo) announced a US$30 million (over Rp435 billion) series B funding round led by Square Peg Capital, with the participation of new investors MDI Ventures and Atami Capital. Previous investors, Jungle Ventures, OpenSpace Ventures, GMO Ventures, AlphaJWC, and 500 Startups also participated in this round.

This fresh fund, according to the CEO Kredivo Akshay Garg, will be used to build new services outside of loans via e-commerce sites, regional expansion, and add new talents in the fields of engineers and data scientists.

The countries to be targeted, according to him, are still in the evaluation stage. The three countries being studied are Thailand, the Philippines, and Singapore. In the next six months, FinAccel will announce one country that is ready to be visited Kredivo until next year Kredivo officially has two operational areas.

"In the next six months we will decide which country we will visit. It is still in the evaluation stage," Akshay said, Wednesday (25/7).

He continued that the new product being developed would later target outside the e-commerce site ecosystem, such as loans for schools, medical, emergency funds, home renovations, and so on.

Separately, in an official statement, Partner Square Peg Capital Tushar Roy said: Kredivo is an institutional class business in all aspects, through the automation of various very complex loan elements and has been trusted by the best merchants in Indonesia. Kredivo has bank-grade risk metrics and has attracted institutional debt.

Kredivo said to have a team of high integrity and experience so motivated to solve big problems for Indonesian merchants and consumers, so as to encourage overall economic growth.

"We are very proud to support the team's vision Kredivo to enable better financial services for the young people of Indonesia and Southeast Asia," said Tushar.

MDI Ventures CEO Nicko Widjaja added, Kredivo is the market leader in consumer loan services with processes credit scoring very advanced in this industry. Invest in Kredivo at the same time marks the first portfolio of MDI Ventures in the field of .

"With our participation, we hope to encourage more underserved segments in this market, where we can access a wide variety of credit-enabled sources of technology. Kredivo to speed up the process of disbursing funds," said Nicko.

Business achievements and subsequent plans

Akshay continued that the company will intensify marketing activities for the acquisition of new users by placing various billboards in public places. They have also intensified several strategic cooperation initiatives with the Telkom Group, which is now incorporated as a network of investors Kredivo.

"We choose a prominent strategic investor so that in the future we can establish a synergy of cooperation. There will be many new initiatives that we are ready to do with the Telkom Group, especially Telkomsel."

Two years of existence, Kredivo has become an alternative method for online payments with digital credit cards that are most widely adopted by marketplaces in Indonesia. Kredivo claimed to be the only online KTA company that has reached almost 10 leading e-commerce sites, including Tokopedia, Shopee, Bukalapak, Lazada, and more than 200 other sites.

Business growth Kredivo In terms of GMV (Gross Merchandise Value) it reaches 5 times, without mentioning the detailed numbers. The company has assessed more than two million Indonesian consumers and helped online merchants earn significant revenue and customer retention.

It is stated that 80% of transactions every month come from loyal consumers Kredivo which number more than 500 thousand people. The non-performing loan ratio is maintained below 5% according to the financial industry average.

The company has 15 companies as funders from multi-finance and credit funds. credit funds These come from Hong Kong and countries in Southeast Asia. BFI is still one of the exclusive lenders in Indonesia Kredivo.