Financial Startup Received Funding from Several Banks
Investment banks with large capital in the technology-based financial startup industry (fin-tech) are growing. At least, throughout the year for the next three years, more than one trillion rupiahs of fresh funds from the commercial bank business group (BUKU) IV are circulated in the fin technology ecosystem.
This large commercial bank, which has more than thirty trillion rupiahs of capital, has entered the fin technology industry through its subsidiary, a venture capital company (VCF). At present, there is one member of BOOK IV in the process of making VCF.
Fin-tech companies aim to make it easier for the public to access financial products, facilitate financial transactions, and also increase public understanding of financial literacy. Some fintech companies in Indonesia are, Amartha, Check Aja, Bareksa, Doku, Friends Money, Modalku, and others.
Meanwhile, three other large banks already have subsidiaries that actively inject funds into the company. PT Bank Mandiri Tbk has invested in 12 technology-based companies through PT Mandiri Capital Indonesia. Until the end of the year, the subsidiary of Bank Mandiri is still targeting other high-tech companies.
Investing Nearly 1 Trillion Rupiah for Technology Companies by Mandiri Capital
Mandiri Capital’s CEO, Eddi Danusaputro, said that the bank has funded nearly one trillion rupiahs since 2016 for these 12 companies. This year Mandiri Capital is investing in three high-tech companies with a total investment value of more than two hundred billion rupiahs. The holding company gave the mandate to find a technology company with several sub-sectors, said Eddi. Expected sub-sectors such as:
1. Payment system
An accurate payment system, with a clear accounting, will be more considered and considered by investors in investing their funds.
Corporate financing is used to advance the company so that it can continue to survive in the competition between companies that are now increasingly competitive.
3. Funds managed, and others
The ability of a company to manage the funds that have been invested by investors in the company he founded is very likely to be seen by investors before investing.
Mandiri Capital is still looking for is fin-tech companies in the wealth management or managed funds sector and insurance technology (insurance technology). For the coming year, Mandiri Capital is still considering making new investments in two to three high-tech companies.
The company also has not allocated a budget for this. But, if they find a suitable one, they said they will invest. Separately confirmed, the Director of Information Technology and Operations of PT Bank Negara Indonesia, Dadang Setiabudi, said that he was trying to form a VCF.
BNI and BRI Will Also Invest In Fin-Tech Companies
In the case of PT BNI, Dadang said that the company currently prioritizes technology that can provide synergy and support business for BNI and all its entities. The investment can provide more optimal benefits and guarantee traction growth because there is a BNI Group captive market.
Another BUKU IV Group that is ready to inject funds into technology companies is PT Bank Rakyat Indonesia. Last year, the company officially owned 97.61% of BRI Ventura Investama’s shares which were previously owned by PT Bahana Artha Ventura.
In this transaction, BRI bought 15,874 shares issued by BRI Ventures for three hundred billion rupiahs. This subsidiary will be developed into a venture capital company or venture capital company that is directed to carry out strategic alliances with beginners.
Meanwhile, PT Bank CIMB Niaga chose to partner with a venture capital company based in Singapore, Genesis Alternatives Ventures to provide funds for companies in Indonesia. The bank set up a fund of three hundred billion rupiahs for this reason this fund is similar to credit with a tenor for startup that are adjusted and interest rates.