Vietnamese small lender F88 raises $50m in Series C funding

F88 Investment Joint Stock Company (F88) has raised additional investments amounting to $50 million from a recent fundraising that was led by Vietnam-Oman Investment Fund (VOI) and Mekong Enterprise Fund IV(MEF IV).

It intends to invest the funds in technology, data analytics and data science, brand building and acquiring new customers, and hiring and the development of its human resources.

“Vietnam-Oman Investment Fund (VOI), backed by the Oman Investment Authority (OIA), aspires to expand its investment in microfinance in Vietnam to provide the underbanked and unbanked population with access to small loans for their emergency needs. MEF IV has the same interest to help improve the quality of financial services to retail consumers in Vietnam,” said Phung Anh Tuan, Chairman of the Board of Directors and General Director of F88.

Tuan said that in 2022, F88 was awarded the highest level of Customer Protection certificate by the Center for Financial Inclusion (formerly known as The Smart Campaign) for the 2022-2025 period.

They were recognized as among a few private companies in the small lending business that can satisfy strict investment criteria by VOI and MEF IV in terms of social impacts.

He said that they are honored to welcome VOI and MEF IV because having both funds is expected to boost their foundation for rapid expansion while upholding excellent services in the coming years.

Tuan said that as they recruit, build, and retain the best personnel in microlending and fintech in Vietnam, they will also be able to serve customers who have limited access to the formal banking system and provide them with the most convenient and friendly services.

Nguyen Xuan Giao, Investment Director at the Vietnam-Oman Investment Fund (VOI), said that as an impact investor, VOI’s investment thesis is to provide growth capital for companies that generate beneficial socio-economical and environmental impact on the community.

Since its formal launch in 2009, VOI has disbursed over $300 million in sectors that include renewable energy, clean water, healthcare, education and agriculture.

Giao said that their investment on F88 is their first investment in the financial services sector in Vietnam.

Chris Freund, Founder and Partner of Mekong Capital, said that with its strong team of open-minded co-founders, who are also willing to transform themselves, F88 is sure to succeed and continue with its growth.