Qupital pulls in equity and securitisation facility to bring credit options to SMEs

Qupital, which hopes to become the go-to digital financial institution for e-commerce sellers, has secured $150m in a combination of Series B funding round and a receivables-backed securitisation facility.

The capital injection will help Qupital expand its services into international markets, as well as bolster its technological capabilities. Additionally, the securitisation facility will provide a lower cost of funding for Qupital to offer exclusive products to its present and future clients.

It is unclear how much of the capital was supplied through the equity investment. Greater Bay Area Homeland Development Fund (GBA Homeland) served as the lead investor of the Series B. Additional support came from Innovation and Technology Venture Fund, MindWorks Capital, Silverhorn and Alibaba Entrepreneurs Fund.

The securitisation facility was deployed by Citi, which was supported by Integrated Alternative Credit Fund. It claims this is the first e-commerce merchant financing securitisation in Asia.

Qupital leverages sales data to streamline credit underwriting for sellers on e-commerce platforms, including Amazon, eBay, Lazada and Shopee. It has supported $500m in loan advancements to 7,000 merchants through its platform.

Qupital co-founder and president Andy Chan said, “As we aspire to improve financial inclusion and increase global trade ultimately, we are committed to back SMEs that have limited access to capital. Being able to work with Citi on this credit facility has fuelled our business with a stable pool of funds and improved cost of capital. It is the cornerstone for us to sharpen our product features, build exclusive relationships with clients and win over market share to gain even stronger foothold in the global market.

“Our ambition is to become the go-to digital financial institution for e-commerce sellers trading across the globe in the New Economy.”

The FinTech company previously raised its Series A round late last year.

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