Socar secures RM 229.35 million in funding from Sime Darby Berhad and EastBridge Partners in South Korea
Socar Mobility Malaysia (Socar) recently announced that it had secured $ 55 million (RM 229.35 million) in its recent Series B funding exercise. The company, which operates a carsharing platform, claims that it is currently valued at $ 213 million (RM 888.21 million).
The latest funding round will see Socar receive equity and a capital injection from South Korea-based EastBridge Partners, as well as an investment from Malaysian multinational Sime Darby Berhad. Both are investing for the first time in Socar and will bring the total funding to date to $ 73 million (RM 304.41 million). The new investment will be structured in two tranches, with 60% upfront and the additional 40% disbursed on the basis of agreed conditions.
“We warmly welcome our new partners – EastBridge Partners and Sime Darby Berhad to Socar’s growth journey, as we expand to bring multi-flex mobility to more countries in Southeast Asia,” said Leon Foong, CEO of Socar Mobility Malaysia.
“For us at Socar, the fact that we were able to have new financial partners join our growth journey during a global pandemic is testament to the confidence that our partners have in Socar’s leadership in the carpooling space and our capacity. to evolve peer-to-peer business across the region, ”he added.
“We are delighted to strengthen our relationship with Sime Darby Berhad, following existing collaborations with its Motors division, by expanding our strategic partnership into a partnership based on equity participation,” continued Foong.
The new investment will be used to further develop the technological improvements as well as to invest in more security and confidence measures to improve Socar’s profitability. The company will also use its fleet expertise to introduce clean mobility to the masses, as evidenced by its partnership with Tenaga Nasional Berhad (TNB).
Socar will focus on enhancing its peer-to-peer Trevo platform to further strengthen the fleet and private car communities. The company currently has a working partnership with Sime Darby Berhad, with Trevo being used for the “Find Your Drive” program in conjunction with Sime Darby Auto Selection of Sime Darby Motors.
At the same time, EastBridge Partners’ investment in Socar aligns with its core Korea + investment strategy which leverages EastBridge’s Korean and Pan-Asian network, in which investments are focused on companies with fundamentals solid, high growth potential and prospects for global expansion.
“Socar’s business model is fundamentally built around matching motorists to vehicles of their choice, so improved platform efficiency through better accuracy in matching drivers and cars will generate additional revenue and savings that we can reinvest to make the carsharing community safer and more reliable. », Foong said.
“Once we reach our target liquidity level for the platform, we can then work with partners to provide users with other ancillary services that car owners and drivers need, such as coverage. insurance. When accessing a car becomes as easy as pressing a button on your cell phone, Socar’s position in the transportation ecosystem can transform the way people think about budgeting for mobility, ”he said. -he adds.