Indonesia’s FinAccel acquires 24% of shares of a publicly listed bank for $38m

Details:

• FinAccel paid around 551 billion rupiah (around US$38 million) to get 726 million shares of the bank on May 21.
• After this investment, FinAccel became the bank’s second largest shareholder after owner Sundjono Suriadi, who still holds 25% of Bank Bisnis Indonesia’s shares.

Context:

• FinAccel is backed by prominent investors such as Mirae Asset-Naver Asia Growth Fund, Square Peg Capital, Singtel Innov8, and Indonesian telco Telkomsel. Its valuation reached almost US$500 million with its latest funding.
• It is also the latest tech company to have bought shares in smaller Indonesian financial institutions in an aim to turn them into digital banks. There were Gojek, which had invested in Bank Artos (then changed the name to Bank Jago), Sea Group with Bank Kesejahteraan Ekonomi (Seabank Indonesia), and Akulaku with Bank Yudha Bhakti (Bank Neo Commerce).

Currency converted from Indonesian rupiah to US dollar: US$1 = 14,330 rupiah