Khazanah invests in WeLab

Khazanah Nasional Bhd, the government's sovereign wealth fund, has invested in WeLab, one of China's largest mobile lending and credit analytics platform in a USD160 million (RM700 million) Series B fund raising exercise.

In a statement, Khazanah said it led a consortium of investors which included, among others, ING Bank and Guangdong Financial Technology Group.

This is Khazanah's first investment in China's financial technology sector, which would allow the fund to gain exposure to the country's growing consumer loan market that is currently not met by traditional banking services.

Khazanah Managing Director Tan Sri Azman Mokhtar said the investment in WeLab continued to strengthen Khazanah's presence in the innovation and technology sector, internationally.

"WeLabs business model is attractive because the company cooperates with financial institutions to provide banking solutions on a purely online and mobile platform and provided affordable credit to people who are unable to obtain financing through traditional channels," he said.

This fundraising follows the completion of a USD20 million Series A round in January 2015 from a group of strategic and financial investors, including CK Hutchisons TOM Group and Sequoia Capital.

Founded in 2013 in Hong Kong, WeLab is transforming traditional credit services by creating seamless online and mobile lending experiences for China and Hong Kong.

WeLab operates Wolaidai, one of China's largest mobile lending platforms, and WeLend.hk, Hong Kongs leading online lending platform, said the statement.