Singaporean crowdfunding platform raises $5m through listing on ASX

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Singaporean crowdfunding platform CoAssets has listed on the Australian Securities Exchange (ASX), the company announced today. It raised US$5 million under its public offering at a price of US$0.30 per share.

In addition to the US$5 million, it’s raised more than US$7.3 million from both private placements and a previous listing on the National Stock Exchange of Australia (NSX) in 2015.

CoAssets will expand in the region, exploring opportunities in Southeast Asia, China, and Australia.

CoAssets was founded in 2013. It specializes in debt crowdfunding for real estate and small- and medium-sized enterprises (SMEs), offering loans between US$74,000 to US$3.7 million. Property developers and businesses can post their investment needs on CoAssets’ platform, where users can look for opportunities.

It also organizes events called “EPIC” (Expo for Property Investing and Crowdfunding), where users who have invested through the platform can meet the businesses and developers they’ve put money in. Events have taken place in Singapore, Malaysia, and Indonesia, and the company is gearing up for its inaugural event in China in November.

CoAssets will expand in the region, exploring opportunities in Southeast Asia, China, and Australia. Later on, it plans to establish a fund of its own to invest in opportunities outside its platform’s current US$3.7 million limit.

Growing stronger

The company claims to have more than 55,000 users and has helped raise over US$33 million through its service across more than 75 business deals. It monetizes by charging 3 to 5 percent of the funds raised on the platform.

It reports a 167 percent revenue growth year-on-year for 2016. Unaudited revenue for the year is reported as US$1.6 million compared to US$600,000 last year. It posted a statutory net loss after tax of US$2 million, which is related to its listing on NSX and now on ASX, professional fees, and licensing costs.

See: Ex-chief artillery officer joins Singaporean crowdfunding startup as COO

CoAssets also attributed losses to early stage development, staffing up, marketing, and compliance. The company now has a staff of 65 and growing.

“Singaporean companies are noted for our strong adherence to compliance and regulatory procedures; as well as our transparency in conducting business. Singapore has been a great platform for our expansion since launch. We are ready to take the next step as a listed company and continue to drive value for our customers and shareholders,” says CEO Getty Goh in a statement.

Converted from Singapore dollars. US$1 = S$1.36