Grab Financial Group stated at the moment it has raised greater than $300 million in Series A funding, led by South Korean agency Hanhwa Asset Management, with participation from K3 Ventures, GGV Capital, Arbor Ventures and Flourish Ventures.
The Financial Times studies that the funding values Grab Financial, a subsidiary of ride-hailing and supply large Grab, at $three billion. Both K3 Ventures and GGV Capital have been early buyers in Grab, which was based in 2012.
Back in February 2020, Grab introduced it had raised $856 million in funding to develop its fee and monetary providers. That information got here throughout hypothesis that Grab and Gojek, one in all it prime rivals, have been lastly getting nearer to a merger after prolonged discussions.
But the Grab-Gojek talks stalled, and Gojek is now reportedly in talks to merge with Indonesia e-commerce platform Tokopedia as an alternative. According to Bloomberg, the mixed firm can be value $18 billion, making it a extra formidable rival to Grab.
In its funding announcement, Grab Financial Group stated its whole revenues grew greater than 40% in 2020, in comparison with 2019. This pushed by robust client adoption of providers like AutoInvest, an funding platform that permits customers to speculate small quantities of cash at a time by way of the Grab app and insurance coverage merchandise. Grab Financial introduced the launch of a number of monetary merchandise for shoppers and SMEs in August 2020.
Usagea of digital monetary providers by shoppers and SMEs in Southeast Asia elevated through the COVID-19 pandemic. According to a report printed by Google, Temasek and Bain & Company in November, utilization of banking apps and on-line funds, remittances, insurance coverage merchandise and robo-advisor funding platforms all grew in 2020, and the area’s monetary providers market could also be attain $60 billion in income by 2025.
Grab launches new client monetary providers, together with micro-investments and loans
A consortium between Grab-Singtel was additionally amongst a number of corporations awarded a full digital-banking license by the Monetary Authority of Singapore in December 2020.
In a press assertion, Hanhwa Asset Management chief govt officer Yong Hyun Kim stated, “We count on GFG to proceed its expontential development on the again of an revolutionary enterprise mannequin which helps the altering broader life-style of shoppers, in addition to its extremely synergistic relationship with Grab, the biggest Southeast Asian unicorn.”
Grab-Singtel and Ant Group win digital financial institution licenses in Singapore