Kredivo to Go-Public via SPAC, Aiming for 6.1 Trillion Rupiah Funding
Kredivo's valuation to reach $2.5 billion and become the next unicorn from Indonesia
Kredivo's parent company FinAccel, announced to become a public company on the NASDAQ through SPAC. Kredivo is to merge with VPC Impact Acquisition Holdings II (NASDAQ: VPCB) shell company, an affiliate of Victory Park Capital (VPC), a global investment firm provided credit facilities to Kredivo several times.
Both FinAccel and VPCB have entered a definitive agreement for merger and filed documents with the US Securities and Exchange Commission (SEC). VPCB alone has completed its IPO in March 2021.
With this merger, FinAccel will have a pro-forma equity valuation around $2.5 billion, assuming no redemption. FinAccel will be the next unicorn startup from Indonesia once the transaction is finalized.
In a virtual press conference held by the company for several media (03/8), FinAccel's Co-Founder and CEO, Akhsay Garg explained that the opportunity to become a public company arrived as FinAccel and VPC have a strong business relation. He values VPC as a quality and reputable firm.
Moreover, in terms of a huge fresh funds at one time is not possible for a company if it is only through private funding. Therefore, when this opportunity arrived, FinAccel wanted to make the most of it.
“We did not choose to IPO, but the best funding option. This is not a sudden decision, but an opportunity appeared at its finest," Garg said.
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