AwanTunai is registered as a P2P lending company with the Indonesia’s Financial Services Authority (OJK).
The round was joined by Global Brain, Fenox Venture Capital, and other affiliates, the company said, in an official release.
Founded by Dino Setiawan, Windy Natriavi and Rama Notowidigdo, AwanTunai is a point of sale financing solution aimed at digitising Indonesia’s vast cash economy.
The company builds digital distribution to thousands of micro-retail merchants who can then access working capital as well as accept payment from AwanTunai consumer credit.
At the same time, the company also offers Indonesian banks and multi-finance companies the ability to reach customers not covered by their branch networks.
As of October 2018, AwanTunai, which is currently a participant in the Paypal Singapore Incubator Program, claims to have served 300,000 loan applications. In the fourth quarter of this year, AwanTunai targets to provide working capital loans to 5,000 micro-merchants.
The company said the fresh funds will be used to expand its merchant acceptance network, improve its engineering and data analytics capabilities and expanding its on-the-ground risk management capabilities.
Commenting on the investment in AwanTunai, Insignia Ventures Partners managing partner Yinglan Tan said: “We firmly believe the future of financial services lies with digital banks. Our investment in AwanTunai reflects their ability to be an enabler of incumbent banks to adopt the technologies necessary to deploy digital banking products.”
The Indonesian online P2P lending space has seen marked deal activity this year, with the closing of huge funding rounds such as the $25 million Series A raised by Modalku (Funding Societies) and $30 million Series B secured by Kredivo.
Recently, Southeast Asian fintech startup Akulaku completed the biggest fundraise by an Indonesia-focused fintech firm, when it secured a $70-million Series C funding round led by Chinese financial technology company FinUp last month.