Soft Space Sdn Bhd, one of Asia’s leading FinTech players announces the closing of a Series B investment with Sumitomo Mitsui Card Company (SMCC). SMCC is one of a wholly-owned subsidiaries of Sumitomo Mitsui Financial Group (SMFG), one of the largest financial groups in Japan. Following a signed Memorandum of Understanding (MOU) and Business Alliance Agreement in early 2017, the investment enables Soft Space to gain privileged access to the massive Japanese market.
The investment will create business growth opportunities within Japan and the ASEAN region. It will allow Soft Space to deliver customizable payment system applications, provide cost effective EMV Smart Card Readers for SMFG and its affiliates and collaborate with SMCC to explore the possibilities of using Soft Space’s white label solutions.
Ken Kubo, President of SMCC says, “SMCC has been around for over 50 years and with the partnership in place, we will work together to build a more sustainable SMCC business model for the next 5 decades. Moving forward, we will collaborate with Soft Space and create market-driven solutions that will boost both our businesses to new heights.”
SMCC is one of Japan’s leading credit card companies and is one of the major issuers of VISA cards in the country, with over 25 million cardholders and US$110 billion in transaction volume in 2016. By tapping into this database, Soft Space will be able to make financial solutions that will meet Japan’s customer needs. Having invested in the past in two US based FinTech companies, Square Inc and Stripe Inc, SMCC’s investment in Soft Space will be its first outside of Japan and the United States, and the first Malaysian based FinTech company.
Joel Tay, CEO of Soft Space says, “We are humbled by the and will leverage this partnership to the fullest by delivering innovative FinTech solutions to our Japanese partners to the best of our abilities. Being one of Malaysia’s leading FinTech companies and a strong partner of Malaysia Digital Economy Corporation’s Initiatives, we foresee many potential growth opportunities stemming from their innovative solution and business model.”
A traditionally cash-centric society, the Japanese government has been making continuous efforts to empower businesses to expand their digital payment services especially with the Tokyo 2020 Olympic Games coming up. With SMCC’s assistance, Soft Space will look to provide a comprehensive financial platform for businesses and accelerate the shift in mindset of the Japanese population towards the adoption of digital payment solutions instead of cash.
