Fintech unicorn Xendit enters Malaysia, invests in local player Payex

Xendit, an Indonesia-based fintech unicorn, has begun offering payment gateway solutions to Malaysian SMEs.

It also announced an undisclosed investment in Payex, a payment gateway provider licenced by Bank Negara Malaysia.

Xendit said in a statement that its entry into Malaysia could help more Malaysian businesses expand into other Southeast Asian markets. Jason Siew has been appointed as the company's general manager in the country.

After operating in the Philippines since 2020, the fintech firm has now expanded into Malaysia, making it present in three countries. Thailand and Vietnam are being considered as potential new markets.

The news comes after Xendit received funding from Penjana Kapital, a Malaysian government-backed fund, through the Dana Penjana Nasional programme in 2021. Xendit raised a US$150 million series C funding round the same year, putting its valuation in unicorn territory.

Xendit, which was founded in 2015, provides a payment gateway service that allows startups and SMEs to accept digital payments. It now has over 3,500 active customers, including Traveloka, Wise, Ninja Van, and Grab.

The fintech firm raised $300 million in a series D funding round led by Coatue and Insight Partners in May of last year.