Amartha Announces Series B Funding Led by Line Ventures

Services p2p loans Amartha announced the acquisition of series B funds led by Line Ventures with an undisclosed amount. Other participating investors include Bamboo Capital Partners, UOB Ventures Management, PT Teladan Utama, and PT Medco Intidinamika.

Line Ventures has several startup portfolios in Indonesia, including HappyFresh, IDN Media, and Warung Pintar.

Meanwhile, UOB Ventures previously entered into Amartha through its entity, Asia Impact Investment Fund I. The funding was specifically formed for growth startups in Southeast Asia and China. So far, nine startups have entered its portfolio, including Halodoc and Ruangguru.

Founder & CEO of Amartha Andi Taufan Garuda Putra explained that the funding will be used for business expansion throughout Indonesia, in order to empower more women and families in rural areas.

"By expanding its reach to all corners of the country, Amartha also hopes to accelerate financial inclusion through digital financial innovation and realize our vision of equitable prosperity for Indonesia," said Taufan in an official statement.

Line Ventures Investment Director James Lim added, "We are excited to join Amartha's mission of bringing social impact and financial inclusion across Indonesia.

"With Amartha's solid management team constantly striving to meet the highest standards of regulatory authorities, coupled with its strengths in technology and operations, Amartha is well positioned to maintain and promote healthier socioeconomic well-being," said Lim.

Currently, Amartha has distributed Rp1,6 trillion in funding to more than 343 partners in 5.200 villages in Java and Sulawesi. The company develops technology platforms and algorithms to automate aspects of operations, services and credit scoring systems that are accurate and secure.

The company also implements a system of joint responsibility to partners to build social cohesion and reduce default rates. All of the methods used by Amartha are proven to reduce the poverty level of their partners, even in the 2019 CFDS report, they succeeded in significantly increasing the income of women micro entrepreneurs.

Amartha last announced Series A pendanaan funding in 2017 led by Mandiri Capital Indonesia worth $2 million (over 26 billion Rupiah). Lynx Asia Partners, Beenext and Midplaza Holding also participated in this round.