SG cashback platform ShopBack secures $80m from Temasek arm

Singapore-based cashback platform ShopBack has raised an additional $80 million in equity in a Series F extension from 65 Equity Partners, a wholly-owned subsidiary of state investor Temasek Holdings.

Having raised $80 million from Asia Partners in July this year, the total funds raised by ShopBack in its Series F round now stands at $160 million, the company announced on Monday. It has raised over $310 million in total funding to date.

Following this investment, 65 Equity Partners will join ShopBack Group’s board of directors and play a direct role in supporting the group’s public readiness efforts.

Set up in October 2021, 65 Equity Partners invests in companies valued between $1 billion and $5 billion across the world.

ShopBack, which counts SoftBank Ventures Asia and Rakuten Capital as its investors, offers cashback and other rewards for brands and retailers such as Dyson, Lululemon and Foodpanda.

The platform will channel the additional capital towards launching new shopping products for users and developing growth and payments solutions for its merchant partners. It will also look at extending its services to more markets and building capabilities for public market readiness.

“Our new partners bring a wealth of expertise and knowledge, which will be critical for the next phase of our journey,” said Henry Chan, co-founder and CEO of ShopBack Group.

ShopBack’s website indicates that it has expanded its services to 10 markets across Southeast Asia, Australia, South Korea and Taiwan since its founding in 2014 by Henry Chan and Joel Leong.

Prior to its Series F fundraise, the company had raised $75 million in a funding round led by Temasek, Rakuten and East Ventures in 2020.

The funds went towards buying fintech startup Hoolah in late 2021, which allowed it to expand its buy-now-pay-later services in Southeast Asia. For instance, the company launched ShopBack Pay in January, allowing shoppers to pay in-store at over 3,000 merchants in Singapore and Australia with payment methods such as GrabPay, credit/debit cards while stacking rewards.

More recently, in August, the company launched its cashback service in Hong Kong.

ShopBack had generated $42.24 million in revenue and accrued a net loss of $25.21 million for the financial year ended Mar 2021, according to DealStreetAsia’s DATA VANTAGE platform.

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