The multi-bank supply chain finance and peer-to-peer financing (P2P) platform CapBay on Monday announced to have raised $20 million in its Series A funding round led by Singapore-based venture capital firm KK Fund that invests in startups across Southeast Asia with a strong foothold in Malaysia since 2015.
The company aims to use the funds to further strengthen its strong technological and funding capabilities. This will enable more efficient financing and market expansion in order to reach a wide range of investors and underserved small and medium-sized enterprises (SMEs).
Launched in 2016, the platform is regulated by Securities Commission Malaysia (SC) which helps SMEs grow and unlock cashflow trapped in their supply chain by providing financing solutions.
According to the statement released, In December 2020, the company has said to have achieved a key milestone by funding RM 100 million across 500 investment notes on its platform, becoming the fastest fintech to hit RM100 million in P2P financing.
This is a part of CapBay Group’s track record of providing supply chain finance, having facilitated more than RM 800 million across 10,000 transactions covering SMEs, the statement further said.
The company also expanded investment opportunities for P2P Investors on its platform through its strategic partnerships with top institutions. CapBay became the first and only fintech company selected to be part of national telecommunications giant Telekom Malaysia Bhd’s (TM) vendor financing programme known as PERINTIS in September 2020. The alliance allowed P2P investors to invest alongside institutional investors in a safer asset class backed by the government and corporate receivables.
Recently, CapBay entered a joint venture with Kenanga to create Malaysia’s first Islamic supply chain fintech. The company invests in developing the Shariah-compliant supply chain finance market through the Kenanga Capital Islamic SdnBhd (KCI) acquisition.