2C2P to accelerate SEA expansion with new investment arm, says group CEO

Singapore and Thailand-headquartered digital payments firm 2C2P is counting on its new venture capital arm to accelerate growth and capture new opportunities across Southeast Asia.

The company raised as much as $52 million last year and has set aside $15 million for its newly-established VC arm.

“We are very positive about the online payment outlook… we have come across a lot of companies that we want to engage with commercially. So for us, having established this investment arm enables us to go deeper and further expand the commercial relationship,” said Aung Kyaw Moe, founder and group CEO at 2C2P.

The firm is witnessing steady growth in Thailand, Myanmar, Indonesia, Malaysia and the Philippines.

“The payment space is moving extremely fast. We have come across really interesting companies that we want to be part of, and the inception [of the VC arm] is to make sure we are fully plugged in to what’s the latest and the greatest,” said Moe.

The VC will make investments from $500,000 upwards and could further take majority stakes in targeted companies, Moe said.

In December 2019, 2C2P established a Vietnam entity and acquired an additional 50 per cent in 2C2P Cambodia to wholly own the unit. The group’s investments into subsidiaries reached $4.9 million by the end of 2019, compared to a $4.1 million figure in 2018.

“We still have a lot of headroom to grow, and Southeast Asia is pretty similar to a market like China, where e-commerce is not a luxury but a necessity,” Moe said.

The company generated more than $2 million in comprehensive income in 2019, compared to a $1.1-million loss a year earlier, according to its audited financial statement released in May 2020. Revenue for the year stood at $81.5 million, a 57 per cent jump from 2018.

Edited excerpts of an interview:-

Continue reading this story with a subscription to DealStreetAsia.

Subscribe

Contact us for corporate subscriptions at subs@dealstreetasia.com.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.