Evermos, an Indonesian social commerce platform focused on Muslim products, has raised a Series A funding round of $8.25 million led by Jungle Ventures.
The financing marks the largest funding round secured by a startup specifically serving Indonesia’s Muslim market, which according to Thomson Reuters, was worth $2 trillion in 2016, and is likely to touch $3.8 trillion by 2022.
“This shows that the global investor community is starting to notice and show interest in the halal and sharia market,” Evermos co-founder and CEO Iqbal Muslimin told DealStreetAsia.
Based in Bandung, Evermos provides a sales platform that incentivises individuals to share various Muslim products on their messaging applications or social media channels, and earn a commission from every sale generated.
Evermos, which is short for ‘Everyday Need for Every Moslem,’ launched its platform nine months ago and claims to now have a network of over 20,000 paid resellers across Indonesia marketing thousands of local products from hundreds of local brands.
The company says it plans to use the newly procured funds to expand its presence in the digital Islamic Economy ecosystem, ink further collaborations with local brands and organizations, and build and support a vast online reseller network, which it hopes will be the largest in Indonesia.
“The digital economy in Indonesia has grown particularly fast, and its Sharia economy has a very large potential to become a part of this expansion,” Muslimin said. “Given the size of our Muslim population, this Sharia economy will have a positive impact throughout the country.”
Going forward, Evermos will look to tap into areas beyond halal consumer goods by exploring social goods, ZISWAF (alms and charity), halal travel and Sharia fintech.
Alongside Muslimin, Evermos is led by co-founder Arip Tirta, a former co-founder and CEO of proptech startup Urbanindo, which was acquired by Singaporean counterpart 99.co in 2018.
Jungle Ventures principal Yash Sankrityayan said the VC firm was betting on a “serial founding team with a deep understanding and respect for the large Sharia economy in Indonesia, a clear vision for supporting it with technology.” It made the investment from its recently closed $240 million third fund.
With the new funding, Evermos joins a small club of Indonesian Muslim-focused startups that have received venture capital backing. Others include Muslim fashion marketplace Hijup, which raised a seven-digit USD seed funding from Fenox, 500 Startups and Emtek back in 2015, and halal e-commerce platform Muslimarket, which bagged investment from 500 Startups at a $10-million valuation in 2017.
In the financial services sector, Indonesian sharia fintech startup ALAMI recently raised an unspecified seed round led by Singapore’s early-stage VC firm Golden Gate Ventures in a deal that marks the first funding in the region to be structured in sharia-compliant terms.