With a Series A round led by Vynn Capital, Malaysia-based B2B wholesale platform, Dropee announced that it has raised a total of US$7 million.
The funding comprise a combination of US$3 million in equity and US$4 million in debt from new and existing investors.
Other Investors For This Round
- HCL Capital
- Resolution Ventures
- LKF Capital
- Brama One Ventures
History of Dropee
The startup was created to make Southeast Asia's wholesale trading space more efficient.
Both the co-founders, Lennise Ng and Aizat Rahim, came from "family businesses that are involved in B2B trading" on fast-moving consumer goods products for over two generations.
Launched in 2016, Dropee initially focuses primarily on food and beverages and fast-moving consumer goods.
As of now, The Y Combinator backed startup is providing loan and financing services on top of helping businesses adopt digital solutions.
The startup has operations across Malaysia, Singapore and Indonesia and is used by more than 80,000 SMEs, to purchase wholesale goods through its platform.
Aims to Assist Micro and Small Businesses
With the fresh funding, Dropee plans to accelerate new financing product offerings for wholesalers and retailers over the next 12 months.
“With this Series A round, we’re doubling down on helping micro and small local businesses to adopt digital solutions so they’re able to bring down their operating costs, have more access to financing support, and increase their business longevity,” Lennise Ng, CEO of Dropee, said in a press statement.
Significant track record with credit financing portfolios has been built over the past year by Dropee and partnerships with regional banks and non-banking financial institutions are in the works to scale new product launches.