Singaporean Fintech Fundnel Becomes 7th ECF Platform Approved in Malaysiaby Fintech News Malaysia November 9, 2018
Singapore-based equity crowdfunding platform Fundnel has expanded to Malaysia. The announcement follows Fundnel’s appointment as a Recognised Market Operator by the Securities Commission Malaysia.
Fundnel Malaysia aims to provide a comprehensive suite of capital raising services, targeted at local unlisted growth companies that form the backbone of the economy.
This will include everyday businesses from the mom and pop cafés and retail stores to larger companies in the fields of education and wellness. The company claims to adopt a technology and data driven approach to connect quality businesses with growth capital,
“The global economy is increasingly being shaped by SMEs, who often face challenges obtaining growth capital,” said Kelvin Lee, CEO and co-founder of Fundnel. “Crossing the borders is a big stride towards our goal of creating access to capital for everyday companies.
We believe that funding good-quality private businesses will create jobs and in turn spur economic growth. As a newly minted operator, we are excited to commence work and make a difference to the local market.”
“Fundnel’s entry into Malaysia is a testament to the country’s attractiveness as an investment destination and we are excited to welcome the region’s largest private investment platform into our market,” said Norhizam Abdul Kadir, Vice President of Growth Ecosystem Development of Malaysia Digital Economy Corporation (MDEC).
“As a government agency, MDEC works closely with industry players, regulators, start-ups, and accelerators in nurturing the nation’s Fintech ecosystem. We look forward to partner up with Fundnel and other investment platforms to create a more vibrant environment and benefit businesses in Malaysia.”
MisterTyre, a homegrown on-demand mobile car care services, will be one of the first companies to be launched on Fundnel Malaysia. The Klang Valley-based startup plans to use proceeds from this round of fundraise to launch its affiliate program across Malaysia and to initiate licensing of its SAAS automotive solution in the United States.
As of June 2018, the Recognised Market Operators authorised by the SC have collectively raised a total of RM118 million in capital for more than 300 micro, small, and medium enterprises, demonstrating the potential of alternative financing platforms. There are currently 6 P2P lending players and 7 ECF players including Fundnel’s inclusion currently approved by the regulator.
In anticipation of its launch, Fundnel has forged a strategic partnership with local investment firm, Midana Capital. Both Fundnel and Midana Capital will assist each other in deal origination with the common ambition of supporting Malaysian companies.