Singapore based online lender Validus announced this week that following its $15.2 million fundraise the lending platform has formally launched in Indonesia through its domestic business entity, Batumbu, in partnership with Indonesia’s Triputra Group.
As previously reported, Validus was launched in 2015 and claims to be Southeast Asia’s fastest growing SME lender. Validus has facilitated financing of over US$147 million (S$200 million) to Singapore-based SMEs The online lender is licensed by the Monetary Authority of Singapore (MAS) and is also a member of the Singapore Fintech Association. Validus reported that Batumbu connects Indonesia’s SMEs, ranging from the food and beverage (F&B), services, engineering, construction industries – with accredited, institutional and high net worth investors. In doing so it provides these SMEs with financing to drive business growth. Ajit Raikar, Chief Executive Officer and Co-founder of Validus Capital, stated:
“Our expansion into Indonesia serves as a significant milestone for us. Sharing our insights and applying key learnings from Singapore allows us to take a proven and sustainable business model and apply this to a larger market – a market where I have personally spent a few years helping SMEs to grow.”
Sonny Joseph, CEO of Batumbu went on to add:
“SMEs are a key contributor to Indonesia’s economy, contributing massively to its GDP while providing stable employment to large chunks of its workforce. We’ve seen a number of SMEs and business owners unable to jump at growth opportunities due to an inability to draw on a bank loan or alternate means of financing. This is where Batumbu and Validus come in. We believe that by providing SMEs with access to convenient and sustainable financing, we are paving the way for a stronger economic foundation for our country.”