Indonesia’s P2P platform Julo secures US$60 million funding in its Series B round

Jakarta-based peer-to-peer(P2P) lending platform Julo has raised US$60 million in its Series B financing round from Japanese financial services firm Credit Saison.

According to Julo’s filings with Singapore Accounting and Corporate Regulatory Authority (ACRA), Credit Saison invested US$30 million in the startup’s B2 shares, and was issued options to acquire another US$30 million in series B3 shares.

Post this financing round, Julo is now valued at US$200 million.

Julo offers unsecured loans to consumers using an app, which provides a simpler application process and relatively lower interest rates of 6 to 10 percent per month. According to the company, the loan size limits run up to US$555 (IDR8 million).

One of the key differentiating factors Julo has managed to keep its interest rate low because its credit scoring system is more efficient than those of its competitors.

According to 2019 e-Conomy report data, Indonesia had 92 million unbanked adults and 47 million who were underbanked, or who had a bank account but no access to investments, credit, or insurance.

About Julo

Julo was founded in 2014 by Adrianus Hitijahubessy, Victor Darmadi, Hans Sebastian. The platform offers affordable unsecured personal loans (KTA) exclusively to smartphone users. It works with banks and individuals to finance loans to customers.

Julo focuses on offering a low cost loan product to the masses while ensuring that it’s economically viable to their lender partners. The company has developed digital-driven credit underwriting and risk assessment platform to process consumer loan applications and determine their creditworthiness through their mobile app.

The company also reward customers who are regular with payments with cashback bonus and allow them to borrow a higher amount at lower interest at loan maturity.

In 2020, Julo had acquired a permanent peer-to-peer lender permit from Indonesia’s Financial Services Authority (OJK).

Julo is also backed by investors including East Ventures, Convergence Ventures, Quona Capital, Provident Capital, Skystar Capital, and Gobi Partners.

News Source – DealStreetAsia