Axiata Digital, the digital service division of telecommunications conglomerate Axiata Group, has received $70m in funding to support the growth of its digital financial services.
The capital infusion was supplied by Great Eastern, an insurance firm based in Singapore and Malaysia. Through the deal, Great Eastern has acquired a 21.87% stake in Axiata Digital.
Capital from the round will foster the expansion of the company’s digital financial services across Malaysia and the rest of Asia.
The Axiata Digital’s financial services comprises of two brands, Boost and Aspirasi.
Boost is an e-wallet app that empowers consumers to have better and more secure access to their money. Its tools include the ability to receive payments, manage cashflow and make digital payments.
Aspirasi is a digital financing service which offers both micro-financing and micro-insurance.
With the burst of capital, the company will look to enhance the merchants and customer ecosystem on the Boost platform and deepen the credit scoring technology of Aspirasi.
The company also recently expressed interest in getting a digital banking license and is currently undergoing an application with Bank Negara Malaysia to get one. It sees a big opportunity in the area, especially to reach the unbanked and underserved population.
Great Eastern group CEO Khor Hock Seng said, “This strategic investment will enable Great Eastern to participate in Axiata’s growing fintech expansion plans in the region. Axiata’s focus on providing financial services for the underserved, unbanked and under insured customer segment also resonates well with our business strategy.
“By leveraging on Axiata’s network and digital capabilities, and partnering with them, we want to grow our reach into new customer segments to provide for their financial needs and ultimately improve their lives.”
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