KoinWorks, Indonesia’s largest P2P lending platform, successfully raised $12.2 million in the recent round of Series B funding. To date, the company has raised more than $28.5 million.
The Series B funding round was spearheaded by EV Growth and Quona Capital. According to Tech Crunch, the existing pool of investors also included Beeblebrox, Convergence Ventures, Gunung Sewu, and Mandiri Capital Indonesia.
What the Company Offers
The three-year-old startup company focuses on providing small and medium enterprises with excellent loan options via its lending platform. The business utilizes an online platform that relies on machine learning. In turn, the platform will provide low-interest loans designed to cater to SMEs.
Founded in 2016 by Benedicto Haryono and Willy Arifin, KoinWorks seeks to “democratize finance in Indonesia while fostering financial inclusion.” It also aims to bring both borrowers and lenders alike on a single platform and foregoing traditional banking lending processes.
In just three years, the press release published in Globe Newswire reveals that the company has amassed more than 300,000 users. Of this number, 60 per cent are reportedly millennials who are navigating the world of investing and funding. Meanwhile, 70 per cent of these millennials reveals that this is the first foray into investing in the lending industry.
Overwhelming Support from Investors
Despite raising $16.5 million in the previous Series A funding, Willy Arifin of KoinWorks maintains that the “round was intentionally oversubscribed, suggesting that the existing shareholders of the startup were unwilling to overly dilute their stake,” reports Tech Crunch.
While there is a sizeable difference in the amount raised by the company, Arifin states that this “does not reflect the true appetite of investors in KoinWorks.”
Having led the Series B funding round, Quona shares that they are “thrilled to support KoinWorks as they consolidate their market leadership.”