Online lending platform Funding Societies, better known as Modalku in Indonesia, on Wednesday announced that it is acquiring online card payments startup CardUp for an undisclosed amount as part of efforts to expand payments services.
Funding Societies will acquire CardUp’s payments capabilities, including online payments, invoice automation tools, and its licences. CardUp is licenced by the Monetary Authority of Singapore (MAS) and by the Hong Kong Customs and Excise Department (HKCED).
The acquisition process is expected to conclude in June and it is subject to regulatory approvals.
“Acquiring CardUp enables us to leapfrog and accelerate our market leadership in the regional FinTech space, integrating payments capabilities, enhanced user experience and local licenses to our digital lending experience across key markets,” Kelvin Teo, Funding Societies co-founder and group CEO, said in a statement.
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.
According to DealStreetAsia’s DATA VANTAGE, CardUp has amassed a total of $7.31 million to date in funding.
The acquisition came following notable landmark deals by Funding Societies this year which include securing a total of $294 million Series C+ round in February and an investment in Indonesian lender Bank Index.