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[Updated] Indonesia’s KoinWorks raises US$20M from Quona Capital

Updates: The article has been updated on how the company will use its funds

KoinWorks, a financial P2P platform for small and medium-sized businesses in Indonesia, has raised US$20 million in a new round of fresh debt and equity capital, from Quona Capital.

Other existing investors including Triodos Bank, EV Growth, and Saison Capital also participated in this round.

The new money will go towards borrowers who are mostly digital SME’s, the company told e27.

“As an institution with the protection of our lenders’ capital at our core, being well capitalised is always a top priority. KoinWorks continues to stand together with many giant financial institutions and hundreds of thousands of retail lenders to support digital SMEs during COVID-19,” said Co-founder Willy Arifin.

“The company is growing, and closing a round in ‘corona times’ says a lot,” said Benedicto Haryono, co-founder of KoinWorks.

“We feel confident that we can support Indonesia as it makes its way through the COVID-changed economy. We strive to provide the best financial service for all our users.”

Aside from raising significant funding during turbulent times, KoinWorks has also announced new credit facilities, which will be used to underwrite loans via its fintech lending platform. Previously the company had also offered educational loans along with plans to launch eight new services in 2020, including gold saving according to Jakarta Globe.

KoinWorks currently has 400,000 users in its platform, with almost 220,000 lenders it claimed. Its local competitors include Akseleran, Investree, Reksadana, Amartha, Modalku and Funding societies.

Also Read: Funding Societies welcomes new CTO, CEO, CDO to accelerate scaleups

The fintech platform is also joining the Indonesian business community in support of Indonesia Pasti Bisa, initiated by East Venture through KoinDonasi, a fundraising programme to produce 100,000 test-kit and genetic research for COVID-19 vaccine-development purposes.

Prior to this the company had recently secured a series B2 round of US$1.4M from Japanese financial services company Saison Capital.

Image Credit: KoinWorks

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