Kredivo Holdings has raised $270 million in Series D funding. The round was led by Japan’s Mizuho Bank. Square Peg Capital, Jungle Ventures, Naver Financial Corporation, GMO Venture Partners, and Openspace Ventures also participated. Kredivo will use the funding to enhance its status as a digital financial service provider, particularly via online lending, credit cards, and its buy now, pay later offering. The company will also use the capital to power the launch of its neobank brand, Krom.
“The upcoming expansion into digital banking is deeply synergistic with the existing Kredivo product and also opens up a very promising channel for us to become the digital financial services platform of choice for tens of millions of consumers in Southeast Asia,” Kredivo Holdings CEO Akshay Garg said. “Finally, we are delighted to have Mizuho join us as a valuable investor and strategic partner.”
Formerly known as FinAccel, Kredivo Holdings operates a number of brands including its digital credit platform, Kredivo, which serves customers in Indonesia and Vietnam. Kredivo Holdings also maintains a bank entity, Krom Bank Indonesia (formerly Bank Bisnis Internasional). Most recently, the company announced that it is launching an Indonesia-based neobank called Krom.
The new funding takes Kredivo Holdings’ total equity capital to nearly $400 million, according to TechCrunch. Valuation information was not immediately available. Garg indicated to TechCrunch that the firm’s valuation has increased by 4x to 5x with each valuation round.
Last spring, Kredivo launched its Infinite Card. The offering is a virtual card that enables Kredivo customers to transact on e-commerce and online platforms using their linked Kredivo accounts. The Infinite Card can be used across all of Mastercard’s online merchant network.
Broom, an Indonesian firm that enables automobile dealers to secure short-term funding by using their car inventories as collateral, has raised $10 million in pre-Series A funding. The round was led by Openspace Ventures, and featured participation from MUFG Innovation Partners, BRI Ventures, AC Ventures, and Quona Capital. Broom will use the capital to diversify its product mix and “accelerate inventory turnover” for its customers.
The investment takes the company’s total capital to $13 million. Valuation information was not immediately available.
Founded in 2021 by CEO Pandu Adi Laras and CFO Andreas Sutanto, Broom launched its flagship service, Buyback, a year later. Buyback supports used car dealers in Indonesia who often struggle to secure financing. Laras noted that car dealers typically must wait until they sell enough of their existing inventory in order to raise the capital to acquire new inventory. Instead, with Buyback, dealers get access to short-term working capital via a temporary car sale service with a built-in repurchasing option. Rather than a loan, Buyback involves a temporary sale – including a change of ownership – after which the dealer can buy back the inventory “at a slightly higher price.”
With more than 5,000 used car dealer customers in Indonesia, Broom said that its technology has enabled dealers to triple their inventory size. Broom noted that the used car market in Indonesia is estimated to be worth $65 billion, with analysts expecting the market to grow to $70.3 billion by 2027.
Here is our look at fintech innovation around the world.
Central and Southern Asia
- Walmart invested $200 milllion in Indian fintech PhonePe.
- Indian fintech platform KreditBee partnered with digital payments solution provider PayU to offer cardless installment payments.
- India-based lending infrastructure and asset collateralization company FinSire raised $1.3 million in seed funding.
Latin America and the Caribbean
- Spain-based BBVA launched a new business unit, Spark, in Colombia to help serve the country’s entrepreneurs and technology companies.
- Chile-based subscription payments innovator Toku raised $7 million in seed funding.
- Mexican fintech Clara announced plans to boost its Colombian client base by 30% to 2,000 customers this year.
Asia-Pacific
- Indonesia’s Kredivo Holdings raised $270 million in a Series D round led by Japan’s Mizuho Bank.
- Western Union and MoMo teamed up to facilitate money transfers in Vietnam.
- Thailand-based money transfer service DeeMoney launched new brand offering OwnDee with faster, better rates on transfer.
Sub-Saharan Africa
- Tanzania-based digtal banking startup Credable raised $2.5 million in seed funding.
- Liberia secured a grant from the African Development Fund to upgrade its payments infrastructure.
- The South African Reserve Bank announced the launch of its real-time rapid payment platform PayShap.
Central and Eastern Europe
- Moldcell, a mobile network operator based in Moldova, launched its digital wallet, moldcell money.
- German fintech Raisin secured $64.5 million (€60 million) in Series E funding.
- Berlin-based B2B Buy Now, Pay Later company Mondu launched in the U.K.
Middle East and Northern Africa
- e& group and Mastercard have announced a regional strategic partnership.
- Saudi Arabia-based Buy Now, Pay Later startup Tamara secured a $150 million debt facility courtesy of a partnership with Goldman Sachs.
- MENA-based Bank ABC turned to Temenos to replace its legacy core banking systems in more than 20 markets.