Credit Saison pours $80m into Indonesian digital lender

Indonesia-based Julo has raised US$80 million in a new round of funding from Japanese financial firm Credit Saison. The deal – which includes a mix of debt funding and US$30 million in equity investment – is part of Credit Saison’s efforts to tap into markets outside its home turf.

Kosuke Mori (left), Credit Saison’s head of global business, and Adrianus Hitijahubessy, founder of Julo / Photo credit: Julo

Julo is a digital lending company that implements an instant risk assessment to check users’ identity, purchasing power, and creditworthiness. The platform currently has more than 500,000 active users who avail of its loan withdrawals, phone credit top-ups, and bill payment services.

The company was founded by Adrianus Hitijahubessy in 2016. It counts East Ventures, Quona Capital, Gobi Partners, Skystar Capital, Saratoga, BCA-backed Central Capital Ventura, and Telkom Group’s MDI Ventures as its investors.

Since its establishment, Julo has disbursed more than US$300 million to its users. The firm said that 72% of the loans are used for productive purposes such as business capital, home renovation, and education.

In 2021, its loan disbursement grew by 3x compared to the previous year. Julo expects disbursements to surge by 5x in the next 8 months.

See also: Series SEA: Who’s investing in the region’s fintech startups?

Julo plans to use the fresh equity funding for product development, marketing, and hiring. It also plans to explore expansion opportunities in other countries, along with Credit Saison.