Supply chain financing start-up CapBay raises $20m in Series A
CapBay, a peer-to-peer (P2P) supply chain financing platform based in Malaysia, has raised $20 million in its Series A funding round.
This follows on from its approx. $500,000 seed funding in 2017, led by Singapore-based KK Find, which also was the lead investor in CapBay’s latest round. Other participants were angel investors.
CapBay says it “facilitates inclusive business financing, using existing trade data and relationship”. It offers short-term financing to “businesses of all sizes” through its “proprietary credit-decisioning model”.
CapBay unveiled its P2P platform in March 2020 and to date, it has provided MYR 100 million ($24.8 million) in funding across 500 investment notes. It has also facilitated MYR 800 ($198 million) across 10,000 transactions covering SMEs since its launch in 2017 (known as CapitalBay at the time).
Last year, it became “the first and only” fintech company to have partnered with national telco Telekom Malaysia (TM) – alongside 14 financial institutions and banks – to launch the TM vendor financing programme, Perintis. This partnership allowed P2P investors to invest alongside institutional ones in an asset class backed by the government and corporate receivables.
More recently, CapBay acquired a 49% stake in local firm Kenanga Capital Islamic (KCI), with the view to set up a fintech joint venture focused on Shari’ah-compliant supply chain finance.