Fintech startup Payfazz bagged a $53 million Series B led by B Capital and Insignia Ventures Partners. The round was also participated by Payfazz’s existing investors including Tiger Global Management, Y Combinator, of which Payfazz is an alumnus of, ACE & Company, Quiet Capital, and BRI Ventures as a new investor. The new fund will support Payfazz in strengthening its network in Indonesia’s rural economy and exploring opportunities in expanding across Southeast Asia.
“Southeast Asia’s population has become more familiar with the smartphone. Over the past four years, we’ve provided various mobile-first fintech products to more than 40 million people. We’ve witnessed exponential growth and learned that this sector could be profitable,” cofounder and CEO of Payfazz, Hendra Kwik, said in a statement.
Payfazz was founded in 2016 by Hendra Kwik, Jefriyanto, and Ricky Winata. The startup provides financial services to the underbanked and unbanked population, especially in rural areas of Indonesia, through its network of agents. Bridging the gap between banks and customers, Payfazz claims to have more than 250,000 agents from merchants and small restaurants across the country. They help people perform financial transactions, including paying bills, buying prepaid phone credit, and tapping up mobile wallets. Aside from bill payments services, today, it has expanded to several features such as loans, point-of-sale (POS), and marketplace.
“We see that fintech apps accessible through a smartphone will revolutionize the region’s financial services industry. We want to take part in this revolution by making bill payments, money transfers, loans, savings accounts, and investment services easily accessible through everyone’s smartphone to accelerate financial inclusion across Southeast Asia,” Hendra said.
Payfazz is known to previously secure a $21 million Series A funding in 2018 led by Tiger Global Management.