Helicap joins hands with Bank Danamon to support Indonesia’s alternative lending industry

Singapore-based fintech group Helicap, which connects global investors to private debt opportunities in Southeast Asia, has formed a strategic partnership with Bank Danamon Indonesia to support the archipelago’s fintech and alternative lending industry.

This collaboration aims to position the duo as a one-stop solution for non-dilutive growth capital targeting fintech, alternative lending firms and MSMEs across diverse segments, including supply chain, leasing, and e-commerce.

Beyond capital infusion, the deal envisions a supportive and innovative funding ecosystem catering to the debt financing needs of non-bank firms at every stage of their growth journey, from seed funding to IPO.

Also Read: Helicap joins Filipino consumer lender BillEase’s cap table with US$20M debt facility

Danamon’s banking infrastructure and product suite will be utilised to drive its business growth through transaction volume and Helicap borrowers’ account openings. It allows borrowers access various products, including cross-border collaborations and credit and cash management solutions.

Helicap will build a “robust” flow of risk-managed transactions for Danamon in Indonesia, and the two aim to co-lend to targeted investees, amplifying lending capacities and impact.

Combining Helicap’s technology with Danamon’s banking infrastructure via Danamon Cash Connect will streamline cash reconciliation, fraud analytics, credit risk monitoring, due diligence, and bank account pledge processes.

Singapore-based Helicap leverages its advanced data-processing capability to serve more than 5 million MSMEs and individuals. Its goal is to fill a US$500 billion financing gap that banks cannot serve and deploy capital to 300 million underbanked through 1,000 originators in the region.

It has raised over US$20 million in paid-up capital and deployed over US$250 million with its in-house data analytics expertise.

The company’s equity backers include Credit Saison, Temasek-backed alternative investments firm Tikehau Capital, PhillipCapital, East Ventures, Access Ventures, Voveo Capital, and Soilbuild Group.

Also Read: Helicap partners with Credit Saison Group to provide US$10M debt financing to alternative lending platforms in SEA

Danamon has an extensive banking network, totalling over consolidated assets of IDR 221 trillion, with its subsidiary Adira Finance and deep banking expertise in Indonesia. As much as 92.47 per cent of its shares are owned by MUFG Bank, and another 7.53 per cent by the public.

As of December 2023, Danamon is supported by a network of 863 conventional branch offices, Sharia units, and subsidiary branch and business network, and a network of ATMs, ATM Bersama, PRIMA, and ALTO totalling more than 60,000 units spread across 34 provinces.

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