Southeast Asia fintech player Funding Societies, known as Modalku in Indonesia, has secured a strategic investment from Malaysian lender Maybank, according to a statement.
While the financial details of the transaction were not disclosed, Maybank has made an equity investment in Modalku.
The move is part of Maybank’s strategy to invest in and partner with leading digital tech firms in the region. Through its M25+ strategy, the lender aims to accelerate digitalization both within and beyond the banking sector.
Maybank will explore collaborative synergies with Funding Societies to promote inclusivity and bridge the funding gap for the broader community.
Founded in 2015, MSME-focused Funding Societies has disbursed more than 63 trillion rupiah (about $4 billion) in productive lending for over 100,000 businesses in Indonesia, Singapore, Malaysia, Thailand and Vietnam.
It offers microloans from $500 to $1.5 million that can be disbursed within 24 hours, targeting small businesses looking to manage their cash flow.
Dato’ Khairussaleh Ramli, president and group CEO of Maybank said, “[..] By leveraging our banking expertise alongside Modalku Group’s innovative digital platform, Maybank is committed to developing a robust SME ecosystem and ensuring a brighter, more sustainable future for all.”
Arthur Adisusanto, country head of Modalku said, “[..] This collaboration strengthens our commitment to expanding credit access to underserved MSMEs facing cash flow management challenges, as part of our efforts to support business owners in achieving their business potential.”
Maybank has become yet another Malaysian institutional investor in Modalku. According to DealStreetAsia – DATA VANTAGE, Maybank’s biggest shareholder Sorak Financial Holdings invested in Modalku in August 2024. The firm also counts Gobi Emerald Malaysia among its backers.
Early this year, the firm received an investment from Malaysian sovereign wealth fund Khazanah National and CGC Digital Sdn Bhd, a Malaysia-based provider of digital financial solutions for MSMEs. According to its filings with Singapore’s Accounting and Corporate Regulatory Authority (ACRA), the firm has received $17.27 million so far from the two investors.
Funding Societies last raised $7.5 million in debt from Norwegian state-owned investor Norfund, the company announced in November 2023, just a month after raising $27 million in a debt funding round led by Asia-focused private credit financier AlteriQ Global.
Funding Societies is registered with the Securities Commission Malaysia as well as licensed in Singapore, Indonesia, and Thailand, and operates in Vietnam. It is backed by SoftBank Vision Fund 2, SoftBank Ventures Asia, Sequoia Capital India, Alpha JWC Ventures, SMBC Bank, Samsung Ventures, BRI Ventures, Endeavor, SGInnovate, Qualgro, Golden Gate Ventures, and Penjana Kapital among others.
