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Finance firms raise $ 18 million in debt from impact investors in Japan and Singapore, on track to raise $ 120 million


SINGAPORE, October 7, 2021 / PRNewswire / – Finance companies, South East Asia largest digital financing platform for SMEs, today announced that it has raised US $ 18 million in debt led by a trio of financial institutions including Helicap Investments, the brand new Social Impact Debt Fund and a Japanese financial services group. Helicap Securities acted as sole principal of the secured credit facility. With funding received from European impact investors such as Triodos Investment Management for lending to Indonesian companies, finance companies are on track to raise funds $ 120 million in institutional debt to finance the growth needs of micro, small and medium-sized enterprises (MSMEs) in South East Asia. This funding round also expands the platform’s institutional lender base, which it has secured after successfully passing the financial and risk due diligence conducted by the lenders. The finance companies will invest the funds to lend to deserving MSMEs, propelling its mission of enabling financial inclusion in the region.

From left to right: Kelvin Teo, group co-founder and CEO, Funding Societies | Modalku; David Z. Wang, co-founder and CEO, Helicap Pte. Ltd.

Established in 2015, the finance companies provide MSMEs with commercial finance, which is largely funded by institutional lenders and retail investors. It harnesses the power of technology to give underserved but creditworthy MSMEs financial access through its digital platform. In South East Asia, MSMEs contribute to more than 50% of each ASEAN member state’s GDP, but because many have no credit history or strong collateral, they are often turned down for business loans by traditional financial institutions. Finance companies provide access to finance using alternative data points including, but not limited to, the MSME’s cash flow – its ability to repay the loan – to secure these loans.

“The pandemic has been an important test of resilience, and we are happy to have weathered it successfully, with a proven credit model driven by AI. We are honored for the faith of Helicap, the Social Impact Debt Fund and the Japanese Financial Services Group. , allowing us to continue to ride the growth of digital financing for SMEs. We believe this is the start of a long term relationship and an ongoing evolution for finance companies, ”said Kelvin Teo, co-founder and CEO of the group, Funding Societies | Modalku.

Hélicap is a SingaporeAlternative market-based lending company that provides private debt investments to a large network of accredited investors, including family offices, high net worth individuals, impact funds and institutional investors. In line with its support for sustainable lending, FinTech joined the round through its investment arm, Helicap Investments, after the deal was arranged by its securities arm, Helicap Securities.

“We are delighted to have assisted Funding Societies in their goal of providing access to capital for underserved MSMEs,” said David Z. Wang, co-founder and CEO of Helicap Pte. Ltd., the parent company of Helicap Investments and Helicap Securities. “Helicap was founded with the aim of breaking down traditional barriers for those who need capital and those who can provide it. This transaction demonstrates the continued institutional and individual appetite for private debt investment, and Helicap is well positioned to provide access to quality opportunities through our relationships with leading issuers such as finance companies. “

The Social Impact Debt Fund, an impact investment fund managed by Taurus Wealth Advisors and advised by GreenArc Capital, has provided debt financing to finance companies, seeing the impact these have had on economic disparities in the world. the region. The Japanese financial services group which also participated in the fundraiser renewed its commitment to impact-driven fintech lenders in South East Asia and has a proven track record in promoting the adoption of financial services in emerging markets to facilitate the long-term growth of its portfolio companies.

This syndicated facility of US $ 18 million is expected to increase further with investor interest through Asia and Europe.

About finance companies

Finance companies | Modalku is the largest digital financing platform for SMEs in South East Asia. He is licensed in Singapore, Indonesia, Malaysia and Thailand, and backed by Sequoia India and Softbank Ventures Asia Corp among many others. It provides financing to small and medium-sized enterprises (SMEs), which is financed by individual and institutional investors. In 6 years, it has contributed to the financing of more than 4.8 million business loans with more than S $ 2 billion in financing. She received the MAS FinTech Award in 2016, the Global SME Excellence Award at the ITU Telecom World of the United Nations in 2017, KPMG Fintech100 in 2018, Brands for Good in 2019 and in 2020 recognized by IDC as one of the 5 FinTechs at the fastest growing. in Singapore, won the Stevie® Award and named ASEAN Startup of the Year by Global Startup Awards.


About Helicap

Hélicap is a SingaporeA FinTech company based on the link between global investors and private SEA investment opportunities. Our goal is to fill a 500 billion dollars funding gap that banks are unable to fill and deploy capital to 300 million underbanked people through 500 initiating partners in the region. We have built institutional grade credit analysis technology that can generate and analyze millions of loan data points from origination platforms and extract meaningful credit rating information. This is complemented by our fully online, MAS licensed investor trading platform, Helicap Securities.

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