Indonesian retail technology startup Warung Pintar today secured another $4 million investment in a fresh funding round backed by new investors Vertex Ventures, Pavilion Capital, and LINE Ventures, the startup announced in a release.
The new funding for the startup comes only six months after its $4-million seed funding round in February backed by SMDV, Digital Garage, East Ventures, Insignia Ventures Partners, Triputra Group and various angel investors.
All existing investors also participated in the latest round, Warung Pintar told DEALSTREETASIA separately.
The new funding, Warung Pintar said, will be used to accelerate its mission to help improve the quality of warungs (traditional kiosks) in Jakarta and to encourage technology inclusion for micro-enterprises.
Warung Pintar, which translates to Smart Kiosk, is a prefabricated kiosk with technology integration for Indonesian SMEs and mom-and-pop stores. A typical prefabricated smart kiosk from Warung Pintar features a surveillance camera, an LCD TV, stove and dispensers, a refrigerator, a digital system and a charging station.
Since its initial funding, the startup says its kiosk base has grown rapidly with an average monthly growth of 187 per cent. Today, Warung Pintar boasts 319 kiosks across the greater Jakarta area, operated by more than 500 micro-entrepreneurs.
The startup has also engaged in several programmes and collaborations to boost its growth and promote digital financing for kiosk owners, the most notable of which is its recent partnership with Go-Jek’s payment arm Go-Pay, which allows Warung Pintar customers to carry out cashless payments.
“We are trying to solve hyper-local problems that these warungs have on their daily basis with the state-of-the-art technology and global knowledge of the product. Therefore we’re building a team of engineers with strong technical understanding and a big heart for Indonesians grassroots,” said Warung Pintar CTO Sofian Hadiwijaya.
Willson Cuaca, Managing Partner of East Ventures and Chairman of Warung Pintar, said, “Warung Pintar was literally born out of problems that laid before our own eyes but went unnoticed. We are confident and excited to bring financial inclusion to the unbanked population by giving them financial strength and additional income, not by lending them money like what has been trending recently.”
For Singapore’s Vertex Ventures, the deal represents its first publicly announced investment in an Indonesian company since it closed its $210-million third Southeast Asian fund in October last year after exceeding its $150-million target.