Singapore-based fintech-solution firm Pace that offers BNPL (‘Buy Now, Pay Later’) has recently raised US$40 million funding in a Series A round.
Pace’s funding round was joined by South Korea’s Atinum Partners, Japan’s Marubeni Ventures, Indonesia’s Alpha JWC, Taiwan’s AppWorks, along with Vertex Ventures Southeast Asia and India, Singapore’s UOB Venture Management, and Genesis Alternative Ventures.
Turochas ‘T’ Fuad, Founder and CEO of Pace, said: “This investment from some of the most successful and established investors signals confidence that Pace is a leading BNPL player in Asia. The region is expected to become the world’s fastest-growing BNPL market, and this funding supports Pace in achieving its mission of democratizing financial services for all, by helping us pave our expansion into Japan, Korea, and China Taiwan.”
“We are impressed by Pace and the founder’s clear vision, rapid growth, and experience not only in BNPL payments but in its progress in creating financial inclusion, and remain confident in their ability to revolutionize financial services. With this funding, we are excited to join them on their journey forward,” said Paul Ng, Executive Director at UOB Venture Management.
Pace will be using the fresh funds to expand its operations, business development, and technology with a focus on growing its user base to 25x in next one year and increasing the total value of online transactions on its platform. It aims to hit a GMV run rate of US$1 billion in 2022.
Chua Joo Hock, the managing partner at Vertex Ventures Southeast Asia and India, said: “BNPL will become more prevalent in Asia, and our continuing funding in Pace reaffirms our belief in the strong execution capability of Fuad and his team.”
Pace was founded in 2021 by Turochas ‘T’ Fuad who had previously launched and scaled two startups- Spacemob and Travelmob- which were acquired by co-working platform WeWork and vacation rental site HomeAway respectively.
Pace is one of the smaller BNPL players in the region. The startup allows users to buy products and then pay for them in instalments or after a certain period of time, interest-free.
Pace has successfully expanded internationally by adapting ultra-local approaches and working closely with regulators. Besides Singapore, Pace presently operates in Malaysia, Thailand, and Hong Kong. The startup has over 3000 POS across the region.
The startup aims to create financial inclusion for consumers in Southeast Asia by facilitating them to take control and shop on their terms while also helping merchants meet the growing consumer demand and scale sale efficiencies.