Bangkok E-Payment Startup Omise Raises $17.5M Series B

, ,

Omise, a Bangkok-based payment enabler much like Stripe, has raised a $17.5 million Series B round to expand its reach across Southeast Asia, reports TechCrunch.

The company proves a payment gateway system that allows any retailer take credit card payments online. Omise isn’t releasing any figures for its business but Harinsut said the company can reach profitability inside the the next year.

The company offers its service in Thailand and Japan (the birthplace of CEO Jun Hasegawa), but there are plans to expand to Indonesia, Singapore and Malaysia, where it has carried out closed testing.

Omise funding history

This new round, which is one of the largest for a fintech company in Southeast Asia to date, was led by Japan-based SBI Investment, with participation from Sinar Mas Digital Ventures (SMDV) in Indonesia, Thailand’s Ascend Money (affiliated with mobile operator True), and existing backer Golden Gate Ventures. Omise has now raised over $25 million, including a $2.6 million Series A in May 2015 andundisclosed round from Golden Gate Ventures last October, right after the Singapore-based VC firm announced a new $50 million fund.

Competitive e-payment market

There are many rivals, including 2C2P which raised $7 million last year and ispowering a social commerce trial with Facebook. Stripe, meanwhile, is in the region, but it appears to be working on creating demand in the U.S. from overseas via its Atlas project, rather than going for a full-on localization approach.

Unlike its local competitors, Omise is solely focused on digital payments and not cash.

Around 60% of payments online right now in Southeast Asia.

He explained that the challenge is about reaching suitable scale. Omise makes its money by charging 3.65% on transactions, with a one dollar fee for up to $60,000 (1 million THB) withdrawn, but it offers flexible packages for larger customer.

A version of this appeared in TechCrunch on July 21. Find the original version here.