Indonesian peer-to-peer lending startup KoinWorks has secured US$16.5 million in a Series A round led by Bank Mandiri’s venture capital arm Mandiri Capital Indonesia, with participation from local conglomerate Gunung Sewu and investment firm Convergence Ventures, Dealstreet Asia reported Thursday citing an announcement.
Started in 2015, KoinWorks operates an online platform that links lenders to borrowers, primarily Indonesian merchants looking to finance their businesses. Other loans available on its platform include education and health loans.
It will reinvest the new funds into improving its technology and upgrading user experience across its offerings. Koinworks is registered with OJK, the regulatory body that governs financial service providers in Indonesia. The company claims to have added more than 78,000 investors since August 2016.
Takeaways:
– Indonesian online P2P lending company KoinWorks has raised US$16.5 million from Mandiri Capital Indonesia to improve its technology and upgrade user experience across offerings.
– Bank Mandiri is one of the biggest bank in Indonesia. Securing an investment from it will help KoinWorks cement its credibility with lenders.
– Mandiri Capital has previously invested in other local P2P platforms, Amartha and Investree.
Editor: Nadine Freischlad