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Financial products comparison firm GoBear acquires lending platform AsiaKredit to build regional reach

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GoBear, a financial products comparison startup based in Singapore, has acquired AsiaKredit, a consumer lending platform operating in the Philippines, according to a press release.

The financial details of the deal were not disclosed.

This acquisition will allow GoBear to strategically expand its reach within the Philippines and further drive expansion of its services beyond insurance and credit cards to digital lending.

Additionally, the deal will allow the Singapore firm to improve financial inclusion by introducing lending as a service to its network of more than 100 partners, helping them provide loans to underserved consumers in Southeast Asia and Hong Kong. It will also see the expansion of a direct consumer lending service through pera247, AsiaKredit’s flagship mobile app.

Besides, GoBear will be utilising the network of AsiaKredit, which claims to have processed over one million loan applications in the Philippines.

By giving its users more access to financial products and services, GoBear plans to leverage data and insights from both banking and insurance verticals to assess better and manage price risks.

As for AsiaKredit, which is also headquartered in Singapore, this deal will enable it to leverage on GoBear’s regional presence and expand the reach of its credit lending services to Southeast Asia’s and Hong Kong’s underserved consumers.

Both GoBear and AsiaKredit share a vision to offer accessible and responsible financial services to those across the region. This acquisition represents a fantastic opportunity for AsiaKredit to leverage GoBear’s regional presence and expand the reach of our credit lending services to Southeast Asia and Hong Kong’s underserved consumers. We are excited to take the AsiaKredit platform beyond the Philippines in the next phase of our growth,” said Mike Singh, Co-founder and CEO of AsiaKredit.

Access to credit remains a challenge for millions in Southeast Asia, with more than 70 per cent of the region’s population being underbanked or unbanked, according to a study by Bain & Company.

With economic growth in developing countries set to decline sharply in 2020 due to the impact of COVID-19, providing consumers with access to credit will become increasingly important.

Last year, GoBear raised US$80M from the Netherlands-based asset management company Aegon and Dutch VC firm Walvis Participaties. Since then, its revenues claims to have increased by over 100 per cent from consumer finance products.

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“With AsiaKredit as part of the GoBear family, we will be in a stronger position to fulfil our mission of improving the financial health of the underserved across Southeast Asia and Hong Kong. GoBear and AsiaKredit, together with our banking partners, will be able to offer millions of consumers access to an alternate source of credit and ethical lending,” added Adrian Chng, CEO of GoBear.

Image Credit: GoBear

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