Funding Societies Lands US$50 Million Credit Facility From HSBC

Funding Societies, a Southeast Asian Small and Medium Enterprises (SME) digital financing platform, announced that it has received a US$50 million credit facility from HSBC Singapore.

Through this new facility, Funding Societies will be able to channel the funds via its range of tailored financing solutions across SME segments across all its five markets.

Meanwhile, this will also enable HSBC to extend its global capabilities by tapping on the underserved segments across the region.

Furthermore, HSBC will act as the structuring bank, lender, facility and security agent in providing a flexible, scalable and pan-regional financing solution to support Funding Societies’ business expansion in the region.

Just a week ago, Atome Financial announced that it had received a US$100 million debt facility from HSBC to fuel its buy now, pay later business.

Funding Societies has a track record of loan disbursement of over more than US$2.6 billion through more than 5.1 million transactions across the region.

This announcement comes at the heels of Funding Societies’ most recent acquisition of regional digital payments platform CardUp which is subject to regulatory approvals, as part of a series of efforts to diversify its services beyond lending.

The digital financing platform also achieved several strategic milestones including its Series C+ equity raise of US$144 million in February, its recent investment into Bank Index in Indonesia, and market entry into Vietnam – its fifth market.

Kelvin Teo

Kelvin Teo, Co-founder and Group CEO of Funding Societies | Modalku said,

“We’re honoured to receive such a sizeable facility from a global bank such as HSBC. This marks a critical milestone for us and is a testament to our credit track record through Covid-19.

HSBC’s foresight, global capabilities and scalable approach further equips us to better satisfy the underserved SME segments in the region. We appreciate HSBC’s confidence in us and are excited about this signing.”

Regina Lee

Regina Lee, Head of Commercial Banking at HSBC Singapore said,

“As a leading SME digital financing platform, Funding Societies is playing an important role in contributing to Southeast Asia’s new economic growth by driving broader financial inclusion and supporting homegrown companies which are the building blocks of these economies.

We are thrilled to support Funding Societies as they expand their reach to serving underserved SMEs in the region.”