Singapore-based fintech and small and medium-sized enterprises (SMEs) lending firm Validus has secured around $14 million in a fresh funding round, the media reported.
The funding round for Validus was led by Vertex Growth Fund and Kuok Group’s Orion Fund, which is managed by K3 Venture Partners.
Other investors that participated in the funding round include Dutch bank FMO, Vertex Ventures Southeast Asia and India, Openspace Ventures, Vietnam’s VinaCapital Ventures, and AddVentures, the VC arm of Thai conglomerate Siam Cement Group.
According to reports in the media, Validus will use the funds to invest in technology and build a stronghold in the three markets it currently operates in. The funds will also be used to launch its upcoming venture in Thailand.
Co-founder and COO Nikhilesh Goel said that the coronavirus pandemic has resulted in increasing demand for short-term financing, with a 50 percent year-over-year increase for credit-approved unsecured loans over the past few months.
He told the media, “Through working closely with corporate partners and investors on the platform, we also aim to support SMEs who are pivoting their businesses to adapt to services and products that are required at this time. In the last month, we have disbursed multiple such loans averaging $250,000 to $500,000, to support SMEs’ efforts in meeting the demand for face masks and other protective gear in short supply.”
Established in 2015, so far Validus has as facilitated over $319 million in loans. According to the company, over 300,000 Singaporeans have benefited from using its platform, with SMEs seeing a 17 percent increase in annual revenue in 2018 and a 12 percent growth in employment.