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Ecosystem Roundup: Sea, Fazz slash jobs; police probe into IPO-bound F88; Terra’s woes continue

 

Dear Pro member,

The new developments don’t bode well for the IPO-bound F88.

The HCMC offices of the financial services company were raided by hundreds of police personnel on Monday. It is accused of employing hundreds of employees as debt collectors, threatening debtors and showing signs of extortion.

If it doesn’t fix these problems and come clean, it could jeopardise its 2024 IPO plans, as investors will likely stay away from buying its shares. The good thing is that F88 has about a year to resolve the issue.

In neighbouring Myanmar, the startup ecosystem is on the verge of collapse. Many startups have shut down, and many founders have fled to countries such as Thailand. There seem to be no genuine efforts from the junta to bring back these talents and revive the ecosystem. Where is the industry headed? Read this feature to get a clear picture.

Take a look at today’s ER for many other recent top stories from across Southeast Asia.

Have a good day!

Sainul

Layoff spree continues at Sea Group’s Shopee
The job cuts amount to 10-15% of its regional headcount; The latest cuts are understood to have been undertaken in early February this year and affected all departments across markets.

Vietnam police to investigate IPO-bound lender F88
Police raided the headquarters of F88; The financial firm is under investigation for the alleged extortion of users in its debt collection activities; F88 reportedly has “hundreds of employees” acting as debt collectors.

Akulaku shareholders seek US$100M sale at up to 30% discount
In December 2022, the company secured US$200M from Japanese lender MUFG; This came after Siam Commercial Bank injected US$100M in Akulaku, pushing it to unicorn status.

SG launches probe into Terra after US$40B crypto crash
Do Kwon and his company Terraform Labs were accused of fraud by the US SEC last month; In addition to this, Kwon is facing arrest in South Korea for violating the country’s capital markets laws, among other alleged offences.

Fintech firm Fazz slashes jobs, freezes co-founders’ salaries
It conducted a round of layoffs on March 1; According to the company, these efforts are aimed at shifting the focus to its core strengths – payments, credit, and stablecoins.

Binance refutes that US company aims to skirt regulators
Binance US was established through a partnership with BAM Trading Services, a Delaware-based firm founded by CEO Changpeng Zhao in February 2019; However, it was not revealed at the time that Zhao had control over the BAM.

Indonesia offers US$110M in incentives to boost EV adoption
The subsidy programme has a quota of 200,000 electric motorcycles, 35,900 electric cars, and 50,000 motorcycles converted to EVs within 2023.

Accelerating Asia raising first venture fund for B2B tech startups in SEA
It targets to raise a total of US$11-15M for investments in about 8-10 pre-Series A startups; The firm expects to make first close at the end of Q2 this year.

Indonesia’s Broom raises US$8M Series A
The round was joined by Quona Capital, AC Ventures, MUFG Innovation Partners, and BRI Ventures; Broom provides financing or short-term loans for car dealers with their used car inventory as collateral.

Indoor mapping and navigation services startup Mapxus closes US$5M Series B
Japan’s Kawasaki Heavy Industries led the round; Mapxus recently joined hands with NOIZChain to co-create Honio, an indoor location-based Game-Fi metaverse.

Australian staffing platform Weploy expands to Vietnam
The Weploy app was officially launched in Vietnam on March 2 where it wants to capitalize on businesses’ demand to hire a large number of seasonal workers.

Khazanah looking to team up with SG-based Antler, sources say
The partnership aims to help Khazanah invest in early-stage startups; A Kuala Lumpur-based investor says Khazanah’s deal with Antler may mimic the programmes of national oil company Petronas.

This year, International Women’s Day calls for the tech startup ecosystem to look within
As an industry, before we can create a wide impact in the society we are operating in, we need to examine the ways we are doing things.

Ninja Van launches PR as a service in Singapore
The free service aims to boost the growth of businesses that ship with the express delivery firm in the city-state; It will help these businesses with media release development, influencer management, and event support.

Why your startup deserves to take part in the 2023 TOP100
Today is an exciting yet challenging time to be a startup in Southeast Asia. Joining TOP100 can help you brace for the storm.

‘It will take another 5-10 years to rebuild the Myanmarese startup ecosystem’
Myanmar-based startups and founders have migrated to countries such as Thailand to relocate their businesses or join corporate life.

There is an opportunity every winter: Stephanie Ping of WorQ
We encourage our employees to think out of the box to resolve challenges and lead change to improve the current workflow, says the Worq CEO.

How SoiLabs turns tofu manufacturing waste into cheese
To make it consumable, SoiLabs transforms okara into Soi-X, a proprietary intermediate that can be used for multiple final products.

The thrills of online shopping: Exploring Vietnam’s e-commerce haven
Before 2025, Vietnam is expected to own Southeast Asia’s second-largest e-commerce market, right after Indonesia.

In today’s unpredictable market, is customer retention possible?
Calling all startup founders in the Philippines! Don’t miss the chance to learn insights and strategies on customer retention at The Big Leap Roadshow Manila!

IMF calls for cryptocurrency regulation to ensure financial stability
Read on to learn more about the IMF’s call for cryptocurrency regulation and its potential impact on the financial industry.

Echelon Asia Summit 2023 brings together APAC’s leading startups, corporates, policymakers, industry leaders, and investors to Singapore this June 14-15. Learn more and get tickets here. Echelon also features the TOP100 stage, where startups can pitch to 5000+ delegates, among other benefits like a chance to connect with investors, visibility through e27 platform, and other prizes. Join TOP100 here.

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