SEA Digest: M&A updates from Funding Societies, LKTT Plastic Technology

Southeast Asian fintech company Funding Societies has completed its acquisition of online card payments startup CardUp, while Malaysian packaging firm LKTT Plastic Technology has been acquired by Advantek.

Funding Societies completes acquisition of CardUp

Online lending platform Funding Societies, known as Modalku in Indonesia, has completed its acquisition of CardUp, an online card payments startup licensed by the Monetary Authority of Singapore (MAS) and the Hong Kong Customs and Excise Department (HKCED).

The development was announced by Funding Societies co-founder and chief operations officer Iwan Kurniawan during a panel discussion at the Indonesia PE-VC Summit in Jakarta last week.

Funding Societies first announced in June last year that it was acquiring CardUp for an undisclosed amount. At the time, the transaction was still subject to MAS approval. The deal includes CardUp’s payments capabilities, including online payments, invoice automation tools, and its licences.

Launched in 2016, the Singapore-based CardUp also has a presence in Malaysia and Hong Kong. It caters to micro-businesses and larger corporates for payroll, rent, corporate tax, vendor payments, receivables flows, and cross-border expenses.

The acquisition came following major deals by Funding Societies last year, which include securing a total of $294 million Series C+ round in February and investment in Indonesian lender Bank Index.

CardUp, on the other hand, allocated new shares to SEEDS Capital and Funding Societies worth $575,000 and $1.1 million, respectively, in December, according to ACRA filings seen by DealStreetAsia.

PE-backed Advantek buys Malaysian packaging firm LKTT

Advantek, an engineered carrier tape and precision component packaging company backed by US- and Hong Kong-based private equity firm Cornell Capital, has acquired Malaysian packaging firm LKTT Plastic Technology, according to an announcement.

LKTT has more than a decade of experience in carrier tape manufacturing with a focus on complex designs for connectors, shields, and other highly sensitive form factors, the announcement said.

The company’s customer base spans Southeast Asia, and it will expand Advantek’s capabilities to support customers in Malaysia, Thailand, and Vietnam.

Advantek has a presence in Taipei, Manila, and Shanghai.

In June 2022, Cornell Capital announced its acquisition of Advantek for an undisclosed sum. Cornell Capital manages about $6 billion worth of assets. The firm focuses on North American middle market buyouts, often in companies that can benefit from global expansion through the firm’s Asia presence and cross-border expertise.

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