JAKARTA - Modalku Group, one of the digital funding platforms for Micro, Small and Medium Enterprises (MSMEs) in Southeast Asia, today announced the acquisition of CardUp, a Southeast Asian payments solution, without announcing the acquisition value*. Modalku Group will obtain CardUp payment capabilities, including card payments to users who do not accept card payments (domestic and international), online payment acceptance, invoice automation facilities, as well as licenses and integration with business software from well-known third parties.
The CardUp payments service will complement the loan products offered by the Modalku Group to produce a more integrated set of financial services for MSMEs in Southeast Asia so MSMEs can manage and pay expenses, receive payments, and borrow funds through a single digital platform.
This acquisition is one of the significant business activities carried out by the Modalku Group during 2022. In February 2022, the Modalku Group received Series C+ Funding of USD 294 million, of which USD 144 million came from equity funding. Recently, the Modalku Group has also invested in Bank Index in Indonesia, launched a virtual business card under the name Elevate in Singapore, and launched a business in the Vietnam market. All of this is done to strengthen and expand the range of corporate financial services for MSMEs.
Co-Founder of Funding Societies and CEO of Modalku Indonesia, Reynold Wijaya, said, “We've known Nicki and CardUp since 2018 and we know that culturally and strategically, CardUp fits perfectly with the Modalku Group. With this acquisition, we can accelerate the company's leadership in the regional FinTech market by combining payment services capabilities, enhancing user experience, and adding local licenses to Modalku Group's digital lending services in our key markets. We are excited to work with the CardUp team. Joining them is an honor for us.
Once the acquisition process is complete and approved by regulators, the Modalku Group will welcome Nicki Ramsay as a member of the management team to lead the company's payments business while retaining all CardUp employees in Asia. (LM)