Fintech Validus buys Citi’s CitiBusiness loan portfolio in Singapore

It’s the first fintech in SEA to acquire an established bank’s loan portfolio.

Financing platform Validus has entered into an agreement with Citi to acquire CitiBusiness loan portfolio in Singapore.

This marks the first fintech in Southeast Asia to acquire an established bank’s loan portfolio and customer base, according to the announcement.

“This opportunity to acquire the CitiBusiness loan portfolio could not have come at a better time for us; it is a complementary fit for our existing business and will enable us to rapidly expand our customer base and loan book,” said Validus co-founder and executive chairman Vikas Nahata.

Citibank Singapore head of Mortgage & CitiBusiness Roy Phua also assured customers that their priority will be to ensure a smooth transition for customers and loans to Validus.

Validus is a financing platform with a particular focus on offering services for small and medium-sized enterprises (SMEs). Founded in 2015, fintech has reportedly disbursed over US$1b across 50,000 loans to SMEs across Singapore, Vietnam, Indonesia, and Malaysia.