Tag Archives: vc

Q3 APAC Fintech Funding Hints at Nascent Recovery

The first three quarters of 2020 saw APAC fintechs raise a combined $3.9 billion, down 46% compared to the same period last year, while deal volume fell by 20.5% to 318, according to the latest Q3 APAC Fintech Funding Report published by S&P Global Market Intelligence.

Key takeaways from the report include:

  • In the third quarter, fintechs in APAC raised $1.3 billion, 8.7% lower than the previous quarter. Year-to-date capital flows into APAC fintechs, however, appear to have hit a trough in June. Both monthly funding volume and value have since risen, possibly signaling a cautious return of investor interest.
  • Investors remain open to new investments and early-stage fintechs amid subdued funding climate. Over the first three quarters this year, at least 15 out of 23 large APAC fintech funding rounds with transaction size of $50 million and above still saw participation from new investors, two-thirds of which are in series B or prior.
  • In the third quarter, China saw a resurgence in private fintech investments and garnered the most fintech funding value. Deal counts by Chinese fintechs doubled to 20, while venture capital flows surged by more than tenfold to $425 million. Southeast Asia, however, saw the most fintech funding activity, which is in line with our earlier observation that investors are increasingly eyeing opportunities in the region.
  • Payment companies continue to lead APAC fintech funding in the third quarter but insurtech was the only category, out of the six fintech industry segments tracked by S&P Global Market Intelligence, that saw an increase in both funding value and volume.

Launching Growjek – ASEAN Tech, Digital, Startup & VC Newsletter

A quick note to readers of this site, I’ve started a biweekly email newsletter called Growjek.

Link to the latest issue here.

Sign up if you’re interested in a digest of ASEAN (with an Indonesia focus) tech, digital, startups, VC, internet, fintech, gaming, ecommerce, adtech and lots of other stuff related to the ‘new economy’ every other Friday.

There are already 124 other people on the list, so you’re in good company.

The Growjek thesis is this:

  1. ASEAN is the biggest and most exciting multi-decade growth and investment opportunity in the world right now — driven by ‘new economy’ tech
  2. Indonesia is — by size alone — the natural centre of gravity for ASEAN (sorry Singapore, but you have a crucial role to play as THE open-source regional aggregator platform!)
  3. ‘New economy’ investment and innovation flows first into ASEAN, and by extension Indonesia, but increasingly in the years (and decades) ahead out of Indonesia and across ASEAN

The Growjek newsletter will be more VC and investment focused than Digital in Asia, which covers a broader region, and a wider range of topics.

Enjoy!