AVCJ coverage: Deal Focus - Fave wins endorsement for ecosystem pivot

Having found online-to-offline services and mobile payments too crowded, Malaysia's Fave turned itself into a digitization guide for small businesses. Collaboration with India's Pine Labs should strengthen its offering

When 500 Startups backed Malaysia-based Fave in 2005, it wanted to support expansion of the company’s nascent online-to-offline (O2O) services and mobile payments platform. But the landscape has since changed, forcing Fave to change with it.

“Southeast Asia's digital economy is dominated by a multitude of apps offering rebates, rewards, reservations, and payments. Merchants have too many options. These single-solutions make costs higher for merchants and they are hard to integrate with functions like financing and marketing,” says Khailee Ng, a managing partner at 500 Startups.

Fave is now an ecosystem player offering digital integration services. More than 35,000 small and medium-sized enterprises (SMEs) have signed up to its marketing, data, financing and operations suite. There is also a big data and analytics business as well as a microlending platform, which helps SMEs secure pre-approved loans based on their payments data.

Services can be tailored to meet the needs of individual merchants, but collectively they amount to a significant presence. “Fave serves as a fintech aggregator for the most popular cards and e-wallets helping fully digitalized payment acceptance. Merchants can focus on what they do best for their customers because Fave takes care of everything else," says Ng.

Read more (subscription required)

Join our community

Deals+ is a global network of M&A transaction professionals offering you access to exclusive events, networking and research. Join the community for free to enjoy the below benefits:

  • perm_contact_calendar Priority invitations to virtual and hybrid events
  • play_arrow Latest trend reports and market research
  • email Regular newsletter on the people shaping global M&A markets