Indonesia-based ALAMI Group, which offers Shariah-compliant P2P SME lending services, has reportedly closed its pre-Series B funding round.
East Ventures served as the lead investor, according to a report from Technode Global. Contributions also came from existing backers AC Ventures, Quona Capital and FEBE Ventures.
Capria Ventures also joined the round, making its first direct investment into the Asia Pacific region.
With this capital, the company plans to further the development of its platform.
The size of the investment was not disclosed.
ALAMI is a Shariah-compliant P2P SME lending platform. It has disbursed over $200m for over 8,500 SMEs financing transactions with 0% default rate.
The company is also looking to launch a challenger banking platform in the future.
Speaking on the deal, East Ventures managing partner Roderick Purwana said, “We are glad to double down our investment in ALAMI and continue to be part of ALAMI’s journey in revolutionising the Sharia finance industry in Indonesia.
“With more than 230 million Muslims in Indonesia, Sharia finance is one of the fastest growing sectors within the banking industry.”
The company previously raised $20m in 2021. This round included a mixture of debt and equity, and was supplied by AC Ventures, Golden Gate Ventures and Quona Capital.
Several Indonesian FinTech companies have raised capital this year. Momofin, which offers document and contract lifecycle management, recently raised an undisclosed amount in funding.
Similarly, digital wallet DANA closed a funding round from Sinar Mas and leading e-Commerce company Lazada Group.
There have been several Shariah-compliant startups to raise capital this year. Ethical investing platform Wahed recently closed its Series B round on $50m. Its investment was led by Wa’ed Ventures and was also backed by former Manchester United Midfielder Paul Pogba.
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