M-DAQ, a Singapore-based SaaS provider for ecommerce and tech companies to facilitate cross border transactions, raises ~$200M Series D from Affinity

Upon closing the $200m series D round of funding, affinity gets a control stake in M-Daq, an Ant-backed company

M-Daq, a Singapore-based fintech firm backed by Ant Group, has received an investment of US$200 million from Asian private equity giant Affinity Equity Partners as part of its series D funding round.

The company was founded in 2010, and according to VentureCap Insights, M-Daq has recently raised US$34.8 million as part of its latest round of funding. According to Richard Koh, founder and CEO of M-Daq, there is a reason for the difference in the amount of money raised by the company being that there are a mix of secondary shares being sold in the round, and not all the money has been drawn down by the company yet.

According to a statement from M-Daq, as part of the investment, Affinity joins the board of directors along with the Singapore-based startup’s management and staff to hold a joint controlling stake in M-Daq.

There is a 15.92% ownership stake in M-Daq owned by Koh while a 3.15% stake belongs to Koo Seng Wong, one of the co-founders. In addition, a 12.7% share of the company’s equity is accounted for by employee stock option plans. In addition, the founder of the company, Lee Yaw Chyun, and the founder of the company, Noboru Takahashi, each hold 0.36% and 1.43% stakes in the business. VentureCap Insights data shows that 33.56% of the company’s stake amounts to a total stake of 33.56%.

Aside from Ant Group, Kiwoom Securities and Shinhan Capital, a joint venture between Kiwoom Securities and Shinhan Capital, are also among the existing shareholders and business partners of M-Daq, which includes EDBI, NTT Communications, Samsung, and Viwoom-Shinhan.

It is expected that the proceeds from the round will be used by M-Daq toward the development of innovative product offerings and the further expansion of its global enterprise customer base, which has been profitable since 2018.

It is a blessing that we have been able to find in Affinity a strong believer-partner who we can work with in order to execute our third five-year strategic plan with a view to a public launch, including executing a portfolio of carefully curated inorganic growth plans, said Koh in a statement.

There are approximately US$10 billion worth of cross-border transactions processed by M-Daq’s proprietary foreign exchange solutions every year, mainly for e-commerce and technology companies such as AliExpress, Taobao, and Tmall, which make up its customer base.

The flagship products of M-Daq are Aladdin and Fliq, which are some of its most popular products. A customer can shop in their preferred currency on an ecommerce platform using Aladdin, while merchants can accept payments in their preferred currency on an ecommerce platform through Aladdin. A service called Fliq allows local e-wallets to be used in other countries for the payment of goods and services when a user is travelling abroad.

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