Fintech Atome Financial received up to $100 M growth debt facility from EvolutionX
To facilitate profitable expansion throughout Southeast Asia, EvolutionX has provided a growth debt facility of up to $100 million to Atome Financial, a fintech company based in Singapore.
According to a statement released by Atome Financial on Tuesday, the company is collaborating with a syndicate of investors to fully utilize the facility’s accordion feature, which has the potential to raise the total amount to as much as $100 million.
In addition to supporting the introduction of new products including savings, loans, insurance, and Atome Cards (Pay Later Anywhere) in markets like Singapore, Malaysia, the Philippines, and Indonesia, the three-year term loan will propel the company’s profitable regional credit portfolio expansion.
Operating income nearly doubled to $170 million in FY2023 for Atome Financial, which includes Atome Buy-Now-Pay-Later (BNPL) and Kredit Pintar, a prominent digital lending platform in Indonesia. The company reported an impressive business performance.
The profitability of its business-to-private lease (BNPL) division was a crucial success factor. This was fuelled by a 40% year-over-year increase in gross merchandise value (GMV) to $1.5 billion and a 130% year-over-year growth in revenue, even though FY2023 was a time of contraction in the capital market and macroeconomic headwinds.
With Atome Financial declaring in April that it had become profitable in the first quarter of 2024, the positive momentum continued into FY2024.
The Advance Intelligence Group, with its headquarters in Singapore, includes Atome Financial. The group is supported by elite investors, including Warburg Pincus, Northstar, SoftBank Vision Fund 2, and global investor EDBI.
“With Atome Financial having reached profitability earlier this year, we’re excited to partner EvolutionX for our next stage of growth,
“This new facility recognizes Atome Financial’s operational excellence and platform value as we look to accelerate the momentum of our digital financial services business, the expansion of regional strategic partnerships like TikTok Shop and Lazada as well as the launch of the new Atome Card, savings and lending products across key Southeast Asian markets,” said Jefferson Chen, Group co-founder and Chief Executive Officer of Advance Intelligence Group.
Rahul Shah, a partner at EvolutionX, expressed their admiration for Atome Financial’s management team and the company’s long-term investors’ and partners’ support. Atome Financial’s operational efficiency and strong emphasis on risk management have led to profitable and sustainable business growth.
