Hong Kong, July 11, 2017 – IFC,
a member of the World Bank Group, is making an equity investment of $15
million in CompareAsiaGroup (CAG), a leading online marketplace for financial
products in Southeast Asia. The investment leads a $50 million round of
Series B funding to support the company’s plans to expand financial inclusion,
financial literacy, and innovation across the region.
The Hong Kong-based company leverages
technology to offer an online bridge between consumers and finance providers
such as banks and insurance companies. It provides customers with an online
one-stop shop for quick and easy access to multiple financial products
offered by banks and insurance companies. For customers, the CAG platform
offers a simple and convenient way to apply for cards, loans, and insurance.
The banks benefit from reduced distribution costs and increased access
to untapped clients. In 2016, 28 million consumers used the platform, which
has partnered with over a hundred provider institutions, including American
Express, HSBC, Citibank, Standard Chartered Bank, and DBS.
“We are excited to continue our mission
of raising financial literacy and providing transparency to consumers across
Asia with strong strategic support from new investors, including IFC, Alibaba
Group, SBI Group and H&Q Utrust, as well as existing investors including
Goldman Sachs, Nova Founders Capital and ACE & Company,” said Sam
Allen, CEO of CompareAsiaGroup. “At the same time, we look forward to
more sophisticated collaborations and deeper integration with our banking
and insurance partners as we support their digital transformation to better
serve consumers across Asia.”
Fintech companies are a focus area of
investment for IFC due to their potential to widen financial inclusion.
To date, IFC has invested in over 30 fintech companies in emerging markets.
“At IFC, reaching the unbanked and under-banked is a priority and we believe
the best way to do this is through technology,” said Vivek Pathak, IFC’s
Regional Director for East Asia and the Pacific. “CompareAsiaGroup leverages
technology to increase pricing transparency for financial products and
improve financial literacy. Our support for innovative fintech companies
like CompareAsiaGroup encourages disruptive technologies and new business
models that create markets for other private sector players to engage.”
To date, CAG has expanded to seven markets
within the region including the Philippines and Indonesia. It serves populations
who previously did not have adequate access to such financial services.
IFC, a member of the World Bank Group,
is the largest global development institution focused on the private sector
in emerging markets. Working with more than 2,000 businesses worldwide,
we use our capital, expertise, and influence to create markets and opportunities
in the toughest areas of the world. In FY16, we delivered a record $19
billion in long-term financing for developing countries, leveraging the
power of the private sector to help end poverty and boost shared prosperity.
For more information, visit www.ifc.org.
CompareAsiaGroup is Asia’s leading
financial comparison platform. The Group helps people across Asia save
money and make better choices about personal finance with comprehensive,
free and independent online comparison tools for insurance, credit cards,
personal loans and other financial products. CompareAsiaGroup partners
with the leading financial institutions in Asia to compare over 2,500 products.
Launched in 2014, the Group employs more than 150 financial experts and
has a presence in Hong Kong, Indonesia, Malaysia, the Philippines, Singapore,
Taiwan and Thailand. For more information, visit www.compareasiagroup.com.