VNLife, a fintech platform that has been instrumental in developing the digital ecosystem in Vietnam, has announced that it has raised $250 million in its Series B funding round. The round was led by Dragoneer Investment Group and General Atlantic and included other investors like Paypal Ventures, EDBI, and others as well.
The company has a significant presence in the fintech industry in Vietnam with its core technology being used by over 40 banks in the country. It also runs the biggest cashless payment network in Vietnam with over 22 million users and 150,000 merchants as the country pushes along the digitalization path in a strong manner.
Niraan De Silva, Managing Director, VNLIFE said, “We are delighted to welcome such high-quality names into the company as part of this fundraising. The global experience and perspective they can bring to further support our growth ambitions are very exciting. Given a rapidly growing digital consumer base in the country, the additional funding will allow us to accelerate our efforts in technologically enabling our merchant partners to keep up with this change”.
The company is expected to use these funds to develop the existing infrastructure and also build on the features and upgrade the platform to keep up with the fast pace of digitalization that we are seeing around the world. The company needs to be on its toes as we are seeing many innovations in the payments and fintech industry all across the globe which pushes the existing companies to keep abreast of these changes or be left behind forever.
Vietnam, though comparatively a small country in the Asian region, is well known for its technologically advanced infrastructure and resources, and hence, the digitalization and adoption of such new technology has been made much easier as the users there are already well versed with the latest changes and upgrades in this field. This helps in the quick expansion of such digital payment services which is one of the prime reasons for the growth of VNLife over the last few years.
There is also a lot of opportunity for growth beyond the borders as well though VNLife has not hinted at such growth at this point. Some countries in the Asian region continue to be slow in their move to digitalization and they offer good places for such companies to grow. Paypal has been aggressively investing in many fintech firms over the last few months as it eyes major growth in this industry.