Leading digital financial technology platform Atome Financial recently secured a three-year term loan facility from debt financing platform EvolutionX Debt Capital (EvolutionX). Atome Financial is concurrently working with investors to fully utilize the accordion feature of the facility, which can increase the total amount to up to US$100 million.
The new facility will drive the expansion of the company’s profitable regional credit portfolio and support the launch of new products such as savings, lending, insurance, and Atome Card (Pay Later Anywhere) in the Philippines and other Southeast Asian markets Singapore, Malaysia, and Indonesia.
Atome Financial, which comprises Atome Buy-Now-Pay-Later (BNPL) and Kredit Pintar, a leading Indonesian digital lending platform, doubled its operating income in FY2023 to US$170 million from 2022. The profitability of its BNPL business, which reported 40% year-on-year surge in GMV to US$1.5 billion and 130% y-o-y growth in revenue, enabled Atome Financial to announce it had turned profitable in the first quarter of 2024.
In 2023, Atome Financial eyed further expansion into the Philippines, working with HSBC Singapore to address the country’s unbanked and underbanked consumers.
Atome Financial is part of Singapore-headquartered Advance Intelligence Group, which is backed by top-tier investors such as SoftBank Vision Fund 2, Warburg Pincus, Northstar, and Singapore-based global investor EDBI.
Rahul Shah, Partner at EvolutionX, said: “We have been impressed by Atome Financial’s management team and support from long-term investors and partners, underpinned by strong focus on risk management and operational efficiency, which has resulted in sustainable and profitable business growth. The launch of innovative and fit-for-market solutions like the Atome Card (PayLater Anywhere) and lending products demonstrates their ability to expand offerings while leveraging local market expertise. This is our first fintech investment in Southeast Asia, and we’re excited to support Atome Financial in their ongoing journey to improve financial inclusion and access to mobile-first financial services in large under-served markets in Southeast Asia.”
Jefferson Chen, Group co-founder and CEO of Advance Intelligence Group, said: “With Atome Financial having reached profitability earlier this year, we’re excited to partner EvolutionX for our next stage of growth. This new facility recognises 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.”