Ant Financial is raising US $1billion to invest in SouthEast Asia and India.

The investment would be in line with Ant's policy to expand outside of China, where its growth is slowing due to stiff competition from Tencent and others.

The internet finance company is looking to back more startups in Southeast Asia and India that focus on payments and online finance.

Ant Financial, formally known as Zhejiang Ant Small & Micro Financial Services Group, has stated it plans to seek a virtual banking license in Singapore.

Ant has been investing in 160 companies over the past five years with about 1.2 billion users globally as of June.

The company holds stakes in regional players including India’s Paytm, in which it poured another investment worth $400 million earlier this month.

Ant Financial Vice President Ji Gang said the company is raising a new fund for startups with higher valuations but did not disclose the fund size or potential targets.