The strategic partnership will enhance access to working capital and liquidity for more than 500 local small and medium-sized enterprises (SMEs).
YTL PowerSeraya works with over 500 SMEs in Singapore, and is one of Singapore’s largest electricity producers, supplying the country’s energy needs through its multi-utilities platform. The collaboration with Validus, Singapore’s largest SME financing platform, will help YTL PowerSeraya’s SME suppliers access pre-approved financing through Validus’ platform easily for working capital within 48 hours.
SMEs in Singapore employ 70% of the work force and contribute 50% to the GDP of Singapore, yet most SMEs are unable to obtain financing as they lack collateral or a credit history to access traditional loans. Access to financing and maintaining a healthy cash flow is crucial to SME resilience and growth.
The partnership enables YTL PowerSeraya to support its suppliers and strengthen its supply chain, by leveraging Validus’ fintech solution that provides financing solutions and a ready source of credit geared to the needs of SMEs.
Under Validus’ Corporate Vendor Financing programme, SME suppliers can access Validus’ pre-approved financing for up to $500,000 at low, bank-like rates. Its flexible pay-per-use arrangement allows vendors to improve cash flow and liquidity whenever required, without any collateral requirements.
“YTL PowerSeraya has been exploring different ways to better support our SME ecosystem, especially in the current challenging landscape. Developing value-aligned partnerships that focus on common goals and complementary strengths is key to ensuring successful outcomes for all. By partnering with Validus, SMEs are able to obtain affordable financing in a timely manner to drive their productivity and growth for a stronger supply chain,” said John Ng, CEO of YTL PowerSeraya.
“Our partnership with YTL PowerSeraya reiterate Validus’ commitment to bridge the SME financing gap and to build a strong economic foundation for small businesses, whilst protecting the interests of the investors on the platform who are seeking for an alternative yet attractive asset class to diversify their portfolio,” said Anand Periwal, Chief Commercial Officer of Validus.
Using Validus’ proven proprietary technology and credit scoring models, over 500 SMEs working with YTL PowerSeraya can now access financing solutions in a fast and simple manner.
To date, Validus has disbursed over S$580 million in SME loans and have helped boost lending in key supply chains since its founding in 2015. In a 2019 study, SMEs supported by Validus in Singapore saw a 17% increase in revenue on average, and supported more than 10,000 jobs.
If you are a vendor, contractor or a supplier delivering goods and services to YTL PowerSeraya, find out more https://validus.sg/ytl-powerseraya
About YTL PowerSeraya
YTL PowerSeraya is in the business of producing, wholesaling, trading and retailing of energy; with a primary focus on electricity. As an established player in Singapore’s energy sector, it supplies the country’s energy needs through its multi-utilities platform.
The YTL PowerSeraya Group has two subsidiaries: the retail arm under the Geneco brand provides electricity price plans and energy solutions to homes and businesses; while PetroSeraya is the fuel management and tank leasing arm of the Group.
The YTL PowerSeraya Group is a wholly-owned subsidiary of YTL Power International Berhad. To find out more about YTL PowerSeraya, please visit the website: www.ytlpowerseraya.com
Founded in 2015 to address the unmet financing needs of SMEs, Validus is today the largest SME lending marketplace in Singapore with a growing presence in Indonesia, Vietnam and Thailand. An award-winning Fintech, Validus uses Data Analytics and AI to drive growth financing to the underserved SME sector via funds from HNWIs and institutional investors. Validus holds a Capital Markets Services Licence by the Monetary Authority of Singapore (MAS), and its Indonesian arm Batumbu has received OJK registration in April 2019. For more information, please visit www.validus.sg