Singapore-based TONIK Financial has closed a $6m equity funding round, led by regional VC investors Insignia Ventures Partners and Credence Partners.
Along with Insignia and Credence, regional family offices and angel investors also participated in the investment round. TONIK intends to use the proceeds from the funding round to launch its digital bank in the Philippines, aiming to begin commercial operations in the third quarter of 2020.
Insignia Ventures Partners founding managing partner Yinglan Tan said: “We are delighted to partner with the TONIK team led by Greg.
“Consumers in emerging markets deserve the ease and convenience of offerings like Amazon, and they expect the same from their bank. Building a modern bank from front to back is an incredible challenge, and we haven’t met a better team to take it on!”
TONIK was founded in 2018
TONIK has recently acquired the bank license from the banking regulator in the Philippines, based on which, the company would launch its digital bank in Philippines.
In addition, the company marks the first digital bank in Southeast Asia and, one among the very few globally operating banks on the basis of its own bank license.
Established in 2018, TONIK provides retail financial products, including deposits, loans, current accounts, payments, and cards on a highly secure digital banking platform.
The company‘s digital banking operations in the Philippines will get support and R&D functions based in Singapore and Chennai, India.
In January, TONIK selected Finastra’s Fusion Essence Cloud for its core banking capabilities.
TONIK founder and CEO Greg Krasnov said: “We are honored to have secured the backing of such prominent regional investors as Insignia and Credence.
“Over 70% of the adult population in the Philippines remains unbanked, and market research indicates that over 50% of existing bank clients would be keen to switch their deposits to a pure-play digital contender. We look forward to working with our new investors to improve financial inclusion in the country.”
