– Fundraising for a Fund with AMFC Group as Borrower Also Decided –
Funds, Inc. (Headquarters: Shibuya, Tokyo, Representative Director and CEO: Yuichiro Fujita, hereinafter “the Company”), which operates the fixed-yield investment online platform “Funds,” is pleased to announce that, as of November 26, 2024, it has entered into a share purchase agreement (hereinafter “the Agreement”) regarding the acquisition of shares in Asia Money Fintech Company (Headquarters: Zhongshan District, Taipei City, Taiwan, CEO: Kevin Tang, hereinafter “AMFC”), which provides financial services such as Sales Finance and BNPL to individuals, utilizing its proprietary credit management know-how and scoring technology.
As a result of the Agreement, the Company will acquire a portion of the common shares of AMFC, holding 13.87% of the voting rights. Under the terms of the Agreement, the Company is allowed to acquire a majority of the voting rights of AMFC by the end of May 2027, subject to certain conditions. With this capital alliance with AMFC, the Company aims to promote its overseas business, focusing on the consumer finance sector.
Background to and purpose of the Agreement
Since the launch of Funds in January 2019, under the mission of “Providing answers to the uncertainties of the future,” the Company has been offering stable asset management opportunities with no price fluctuations through indirect lending to individual investors while also providing agile and flexible debt-based capital-raising instruments to enterprises.
The Company has gained experience in supporting overseas business activities, such as raising funds on the Funds platform for a fund with Gojo & Company, Inc., which operates microfinance businesses in countries like India with its group companies, as the borrower, and for a fund with Hong Kong-listed K Cash Group as the borrower.
AMFC, with the mission of “FINANCIAL INCLUSIVENESS FOR A BETTER ASIA,” is committed to financial inclusion for the underbanked* in Asia, including Taiwan. Its philosophy of striving to solve individuals’ challenges through financial services aligns with the Company’s own mission. Building on the foundation of the overseas business support it has accumulated, the Company aims to collaborate with AMFC and actively work towards enhancing the value of the Funds platform.
With the capital alliance established through the Agreement with AMFC, the Company will promote its overseas consumer finance business as a group. In addition, by leveraging its fundraising capabilities in the Japanese market through Funds as a source of competitiveness, the Company aims to secure further business opportunities in emerging markets overseas.
* People who have bank accounts but do not have sufficient access to financial services such as loans
As a specific support initiative for AMFC, the Company will raise a fund with AMFC Group as the borrower, with the goal of securing business funds for AMFC.
Companies’ comments
・Kevin Tang, Chairman and CEO of Asia Money Fintech Company
Founded in 2013, AMFC has been serving the consumer financing industry for more than 10 years. The management team has more than 20 years of executive management experience, the company has been focusing on the operation of consumer instalment financial services business leveraging fintech technology and robust credit risk management science. In recent years for the development of inclusive finance in Asia, the company has started to develop new markets in Southeast Asia and Japan. By partnering with Funds Inc, we expect to develop various high-quality financing products through its innovative fund-raising platform to provide investment customers in Japan with investment option to diversify their portfolios with secure and fixed return investments.
・Lingyun Sung, Director and CFO of Asia Money Fintech Company
AMFC is very pleased to enter into this strategic partnership aimed at enhancing financial inclusion across Asia, and especially appreciative of the hard work by members of both teams to make this happen. This alliance combines Funds Inc’s strengths in the Japanese financial industry and AMFC’s advanced consumer financing capabilities, underscoring the synergy and commitment of both companies to pave the way for future developments of new markets and meeting consumer demands for Fintech services.
・Yuichiro Fujita, Representative Director and CEO of Funds, Inc.
At Funds, we see expansion into the Asian market as one of the key strategic pillars that will drive our future growth. In particular, cooperation with a reliable partner is essential to strengthen our presence and meet the needs of our clients throughout Asia. We are very pleased and honored to be working with AMFC in this way.
AMFC is a rapidly growing company with extensive experience and a solid track record in the consumer finance sector in Taiwan, and we are confident that its strong network and deep market understanding will accelerate our expansion in many more Asian countries in the future. Through our partnership with AMFC, we will further accelerate our business expansion in the Asian market and strive to provide valuable services to as many people as possible.
We sincerely look forward to growing together with AMFC and opening up new business opportunities.
・Tomomichi Takao, Director and CLO of Funds, Inc.
After repeated discussions since March of this year, both companies have worked hard to build a foundation of trust, and we are very pleased to have achieved this partnership.
Expansion into Asia is an axis of future business strategy that Funds must succeed in. AMFC’s extensive experience and insight in the consumer finance field in Taiwan and other Asian countries will be a valuable management resource for the Funds Group.
In order to embody the mission, Funds has expanded its business by implementing a number of firsts in Japan’s financial industry, while at the same time being fully aware that we are doing business by utilizing investors’ assets and practicing appropriate risk management. In our future expansion in Asia, we will continue to strive for business expansion as a group while balancing innovation and risk management under our partnership with AMFC.
About Funds
Funds is an online platform that allows individuals to lend indirectly to listed companies and other entities starting from just one yen. To date, we have raised funds for 480 projects formed by 100 companies mainly including listed companies, with no cases of delayed distributions or loan defaults (as of the end of October 2024).
For more details on how Funds works, please watch the video we produced as part of our taxi advertisement campaign. https://www.youtube.com/watch?v=HXhKv8Mv_K8
<Key features of fixed-yield investment platform “Funds”>
・No price fluctuations, fixed-yield financial instrument
Funds enables stable asset formation without price fluctuations. It is not directly influenced by market conditions, reducing investor unease and the effort required for management. Note that “fixed yield” means that the yield of the fund is predetermined at the time of raising and that in cases such as the insolvency of the borrower company, distributions may not proceed as scheduled.
・Investments are available in one-yen units
To make investing accessible even for beginners, without psychological barriers, Funds offers the industry’s first option to invest starting from just one yen and in one-yen units (based on Funds’ research).
・Only companies satisfying our selection criteria may join
Companies raising funds by joining Funds are limited to those that have passed our screening process for financial health, business plans, and other criteria.
・A wide range of perks such as coupons
Some funds provide “Funds perks” to investors, including initiatives like discount services and invitations to investor-only tasting events. Moving forward, Funds aims to create new opportunities in the world for deepening mutual understanding between individual investors and companies through financial connections, generating new value.
Biography of the corporate operator of Funds, Inc.
Yuichiro Fujita, Representative Director and CEO: After graduating from the School of Commerce at Waseda University, Yuichiro Fujita joined CyberAgent Inc. In 2007, he founded a company specializing in web development and marketing support services, which he successfully sold to a publicly listed company in 2012. In 2013, he launched a major loan-based crowdfunding (social lending) service. In November 2016, he founded Funds, Inc.
Fees, risks, and other disclosures
・Funds does not charge fees for account opening, management, or investments. However, customers are responsible for any transfer fees incurred when sending funds to the deposit account from their financial institution. Please confirm the transfer fees with your financial institution.
・The claims that serve as the dividend resource for funds handled by Funds are not traded on financial instruments markets and therefore do not have a market price. However, when a sale price to a third party is to be determined, it may be influenced by market trends. In addition, the sale of interests in a fund managed by Funds is restricted and requires the consent of both the Company and the fund-organizing company.
・Any funds handled by Funds do not guarantee principal and may result in losses. Carefully read the important disclosure statement and other documents for detailed information regarding the conditions, risks, and nature of each fund.
Funds, Inc.
Company name: Funds, Inc.
Headquarters: 5th Floor, Fujiwara Building, 1-10-11 Ebisu Nishi, Shibuya-ku, Tokyo
Representative Director and CEO: Yuichiro Fujita
Established: November 1, 2016
Capital: 100,000,000 yen
Type II Financial Instruments Business
