Funding Societies | Modalku, a Southeast Asian SME digital finance platform, has secured an equity investment from Asia-focused venture capital firm Gobi Partners. The sum was not disclosed.
The investment by Gobi supports Funding Societies’ financial stability and expansion beyond SME financing into payments since 2022.
It will help further enhance Funding Societies’ technology-driven approach, leveraging AI and automation to streamline lending processes and improve risk management.
Funding Societies has disbursed over US$4 billion in business financing to approximately 100,000 SMEs and processes an annualised gross transaction value of over US$1.4 billion in payments.
The company has also received equity investments from Cool Japan Fund and Maybank, along with a third annual credit facility from HSBC’s ASEAN Growth Fund.
This facility is part of HSBC’s cumulative US$100 million commitment to Funding Societies.
Kelvin Teo, Co-founder and Group CEO of Funding Societies, said,
“We are honoured to receive this strategic investment from Gobi Partners. At a time when market conditions have led to increased caution toward fintech firms, this partnership is a testament to our strong fundamentals and commitment to financial inclusion.
SMEs remain the backbone of Southeast Asia’s economy, and we will continue to be dedicated to providing them with accessible and responsible financing solutions to help them grow and thrive.”
Thomas G. Tsao, Co-founder and Chairperson of Gobi Partners, added,
“Funding Societies has consistently demonstrated strong execution and resilience in SME financing, making a meaningful impact on businesses across the region.
Our investment underscores our confidence in their ability to navigate economic cycles, drive fintech innovation, and continue closing the SME credit gap.”
Featured image credit: Edited from Freepik
