Kredivo’s parent firm FinAccel builds 24% stake in Indonesia’s Bank Bisnis Internasional

FinAccel, the parent company of Indonesia’s digital credit platform Kredivo, has acquired a 24% stake in local bank PT Bank Bisnis Internasional Tbk, according to a stock exchange disclosure by the latter. 

FinAccel spent 551.31 billion rupiah ($38.4 million) to buy the stake in Bank Bisnis Internasional from its existing shareholders PT Sun Land Investasi and Sundjono Suriadi. 

Prior to the transaction, Sun Land Investasi owned a 37.54% stake and Suriadi, a 31.22% stake, in the small lender. Their shareholding has come down to 19.76% and 25%, respectively. Meanwhile, PT Sun Antarnusa Investment and the public hold 14.94% and 16.30% stakes, respectively, in the lender. 

At the end of 2020, Bank Bisnis’s core capital had reached 1 trillion rupiah ($70,13 million). Indonesia’s banks are required to increase their core capital to 3 trillion rupiah ($210 million) by 2022, per regulation issued by the country’s Financial Services Authority (OJK). 

FinAccel operates Kredivo and peer-to-peer unit KrediFazz.

Founded in 2016, Kredivo provides customers in Indonesia instant credit financing, including buy now, pay later (BNPL) options, for e-commerce and offline purchases, and personal loans. It competes directly with Sequoia-backed digital credit lender Akulaku, peer-to-peer lenders such as UangTeman, and online marketplaces and payment startups such as Tokopedia, Traveloka and OVO that have also developed their own BNPL features.

Kredivo had last raised a $100 million debt facility from US-based Victory Park Capital in November 2020.

FinAccel had previously bagged $90 million in a Series C round in December 2019 co-led by South Korea’s Mirae Asset-Naver Asia Growth Fund and Australian venture capital firm Square Peg. The 2019 round reportedly saw its valuation jump to almost $500 million.

Other investors on its cap table include Singtel Innov8, Telkomsel Indonesia, MDI Ventures, Cathay Innovation, DST Partners and Kejora InterVest.

Consolidation afoot in Indonesia’s banking sector

The stake acquisition in Bank Bisnis Internasional by FinAccel is among a string of recent deals in Indonesia’s banking sector.

In December 2020, ride-hailing and payments major Gojek increased its stake in listed lender Bank Jago to 22%. Subsequently, in February this year, Bank Jago also secured an investment of $222 million from Singapore’s sovereign wealth fund GIC through a rights issue offering.

Sea Group’s e-commerce arm Shopee has acquired local lender Bank Kesejahteraan Ekonomi (Bank BKE), which has now been renamed PT Bank Seabank Indonesia, with the aim of transforming it into a digital bank. Similarly, P2P lender Akulaku has built up a sizable stake in PT Bank Neo Commerce Tbk. 

The most recent deal in the space is fintech lender ALAMI confirming the acquisition of a Shariah rural bank. 

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.