SG-based Validus arm Batumbu secures digital lending licence in Indonesia

From left to right: Florensia Chief of Finance & Operation Officer; Jenny Wiriyanto CEO; Kemal Alamsyah Risk & Compliance Director; Reza Perazi Armadi Chief of Business; Meliana Wong Chief of Customer Journey Officer

Batumbu, the Indonesian arm of Singapore-based SME financing platform Validus, has received regulatory approval from the Financial Services Authority (OJK) to operate as a licensed digital lending platform.

After gaining the licence, Jenny Wiriyanto, CEO of Batumbu, said the company will build strategic partnerships to expand its reach. “We’ll also be ramping up efforts to improve financing access and financial literacy within business ecosystems across Indonesia. The Batumbu team is dedicated to accelerating financial inclusion for MSMEs, to drive a more advanced and resilient Indonesia,” Wiriyanto said. 

Since starting operations in 2019, Batumbu has disbursed over S$207 million ($153.89 million) in financing.

As on December 2020, Indonesia has 149 registered fintech firms, but only 37 have obtained a digital lending licence from OJK. This includes Danamas, Investree, UangTeman, Akseleran, and Amartha, according to the regulator’s statistics.

OJK is currently preparing a draft regulation for fintech lending to strengthen the paid-up capital of firms and protect consumers.

Batumbu’s parent firm Validus has received regulatory approval in three markets across Southeast Asia to date — Singapore, Thailand, and Indonesia. 

Since launching in 2015, Validus has financed over S$775 million ($576.18 million) in SME financing across Singapore, Vietnam, Indonesia, and has just begun operations in Thailand.

Validus is backed by investors including Vertex Ventures Southeast Asia and India, Vertex Growth Fund, Triputra Group, and FMO, with a total funding of around $37.1 million to date.

In May 2020, amid the pandemic, Validus raised $20 million in an extended Series B funding round co-led by Vertex Growth Fund and Kuok Group’s Orion Fund managed by K3 Venture Partners. This round was joined by Vertex Ventures Southeast Asia and India, Openspace Ventures, Thailand’s AddVentures (Siam Cement Group), and Vietnam’s VinaCapital Ventures.

Fintechs including Validus had faced significant pressure to stay capitalised amid the COVID-19 disruption.

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.