Kredivo Agrees to SPAC Merger With VPC Impact Acquisition Holdings II

Public debut for Indonesia company to mark largest fintech deSPAC transaction in Asia

Singapore – August 4, 2021 – Cooley advised FinAccel, the parent of artificial intelligence-enabled digital consumer credit platform Kredivo, on its agreement to merge with VPC Impact Acquisition Holdings II (VPCB), a special purpose acquisition company (SPAC) sponsored by Victory Park Capital (VPC), which will result in Kredivo becoming a publicly traded company on Nasdaq. Partners Ferish Patel, Matthew Bartus, Rama Padmanabhan and Will Cai led the Cooley team advising FinAccel on the transaction, which marks the largest fintech deSPAC transaction in Asia.

Upon completion of the transaction, which is expected to close in Q1 2022, the combined company’s anticipated pro forma equity value is approximately $2.5 billion. The deal will result in more than $430 million in cash on the combined company’s balance sheet, reflecting a contribution of up to $256 million in cash held in VPCB’s trust account and a committed $120 million in a private investment in public equity (PIPE) led by Marshall Wace, Corbin Capital Partners, SV Investment, Palantir Technologies, Maso Capital and sponsor VPC, with a concurrent equity commitment of $55 million from existing FinAccel investors Naver and Square Peg.

“As the top buy now, pay later platform in Indonesia, Kredivo is an established force in the large and rapidly growing point of sale financing market,” Akshay Garg, co-founder and chief executive officer of FinAccel, said in a news release. “Unlike Western markets where credit is readily accessible, traditional banks in Southeast Asia have historically provided little consumer credit in our markets, which creates a large opportunity for Kredivo to tap into other credit needs, such as personal loans, and fulfill our vision of providing fast, affordable and easily accessible credit to tens of millions of customers in the region.”

Founded in 2016, Kredivo provides customers with instant credit financing for ecommerce and offline purchases. With nearly 4 million approved customers and a presence across eight of the top 10 ecommerce merchants in Indonesia, it is the largest and fastest-growing buy now, pay later platform, with plans to expand into regional markets such as Vietnam and Thailand in the near future.

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Related Contacts
Ferish Patel  Partner in Charge – Singapore Singapore, Hong Kong
Matthew Bartus  Partner San Francisco, Singapore, Palo Alto
Rama Padmanabhan  Partner San Diego
Will Cai  Partner Hong Kong, Palo Alto
Hannah Loo  Associate Singapore
Rajdeep Roger Bains  Associate San Diego
Rishab Kumar  Partner Palo Alto
Xinwei Li  Associate Singapore
Alexander Lee  Partner Los Angeles – Santa Monica, Los Angeles – Downtown
Rick Jantz  Associate Los Angeles – Santa Monica, Los Angeles – Downtown
Aaron Pomeroy  Partner Colorado
Sanat Deshpande  Paralegal Singapore
Stella Sarma  Special Counsel Brussels, London
Steve Tonsfeldt  Partner Palo Alto
Nicola Squire  Associate London
Allison Kutner  Associate New York
David Peinsipp  Partner San Francisco, Palo Alto
Jie Zhang  Counsel Hong Kong
Paula Holland  Partner London
Charles Haley  Partner Palo Alto
Joshua Mates  Partner San Francisco
Barbara Mirza  Partner Los Angeles – Santa Monica, Los Angeles – Downtown
Christopher Kimball  Partner Washington, DC
Kristopher Kleiner  Associate Colorado
Dillon Martinson  Special Counsel Washington, DC
Karen Tsai  Special Counsel Washington, DC
David Navetta  Partner Colorado
Ann Bevitt  Partner London