Singapore-based Olea Global Pte, a digitised provide chain platform, on Thursday introduced a partnership with Vayana Network to supply cross-border commerce finance options in India. Olea Global is a three way partnership between Standard Chartered and Linklogis. Olea hyperlinks provide chain financing with a pool of worldwide buyers interested by commerce finance. Olea can be bringing its structuring functionality, know-how platform and entry to funding from different world buyers. Linklogis is a provide chain know-how options supplier in China with a 20% market share and $20-billion annual throughput. It is the biggest receivables asset originator in China and is backed by buyers GIC, BlackRock, Sequoia and Tencent.
Vayana Network is India’s largest commerce finance platform, and would leverage its shut relationships with corporates to supply financing options. Vayana has processed two million transactions and enabled finance of over $10 billion to over 1.5 lakh MSMEs. Vayana has additionally obtained an in-principle approval to arrange the International Trade Finance Services platform at GIFT City, Gujarat.
Vayana and Olea would collectively present exporters and importers in India with well timed entry to different liquidity at inexpensive charges. The platform is anticipated to go dwell in June. The partnership will initially give attention to making export finance available for small and mid-sized exporters. The mixed objective was to succeed in $1 billion in financing on the platform within the first 12 months of the partnership, Vinod Parmar, world head – gross sales and advertising and marketing, Vayana Network, stated.
Letitia Chau, deputy CEO of Olea, stated they might be bringing in a recent pool of worldwide capital into the commerce and provide chain finance market in India, particularly for small and medium-sized companies. These can be hedge funds, different funds, banks and buyers who’ve an urge for food to take a position, Chau stated. Olea would convey its attain and understanding of the markets within the US and Europe,
Vietnam, Indonesia, the Philippines and different South-East Asian markets to the platform. Traditional lenders additionally had prolonged and opaque documentation processes which made it exhausting to entry this capital, Parmar stated. They can be facilitating finance with out ensures or letters of credit score and at round 8-9% as an alternative of 14-18% MSMEs are paying presently, he stated.
Ram Iyer, founder and CEO of Vayana, stated the partnership with Olea complemented their imaginative and prescient of connecting the smallest of companies with the biggest of lenders. Combined with the International Trade Finance Services platform and different cross-border choices, they might be offering a wide selection of commerce finance options to MSME companies, Iyer stated.
Source: www.financialexpress.com”