Akulaku

To Customers

1

2

3

Mobile Shopping Venue

Online Shopping Installment

Online Cash Loan

To Merchants

3,000Merchants

1

2

3

Checkout Financing Services

Online marketplace

User Traffic & Data Analysis

Leading online consumer finance company in Indonesia and SEA

2Updated by 31th July 2018: (1) Mandiri bank has the largest market share of credit card in number of cards in Indonesia by 2017

$409 million Loan origination so

far in 2018

2.4 million Credit Users

vs

4.76 mn credit cards of a top local bank(1)

$532 million Total Transaction Volume so far

in 2018

vs

$12.2 bn ecommerce transaction volume in Indonesia 2018

Highest Repurchase Rate30% in monthly cohort

Largest Transaction Volume$720m since inception

Highest Purchasing Frequency4.5 purchases per customer monthly

Providing financial products in full category

3

Akulaku User Level

Pri

me&

near

pri

me

Un

derb

an

ked

For prime and near prime users:

Long term and large ticket size

For underbanked users:

Short term and small ticket size

Investment highlights along remarkable business growth

4

Holding the largest user base in online consumer lending

sector with ability to acquire new and retain the old

With around 82,000 merchants on board, we hold the biggest

merchant pool for SME loan

Tech driven risk assessment enables massive transaction

volume while keep good loan quality on track

Multi finance license holder conducting business in diversified

scenes with full and solid compliance

Targeting 400 million aspiring mainstream class in SEA with huge financial potential

5Data: (1) Niesen: Seeing around the corner in a new Asian landscape; 400 million middle class by 2020 in SEA;(2) BBVA: Fintech in emerging ASEAN. Only 33% bank account penetration in Indonesia, Vietnam, and Philippines combined in 2016

400 million(1)

55% of total

population by 2020

WHY

do local banks

leave them

underbanked

WHY

can Akulaku

serve the

aspiring class$16 - $100(1)

daily

disposable income

$200 - $300potential revenue per

credit card per year

MainstreamClass

Coverage Product Efficiency

• Insufficient coverage

• Mainly in urban areas

• High cost to set up new

branches

• Easy access through

mobile devices

• No physical limitation -

Economies of scale

• Big client driven

products

• Fail to meet the needs of

aspiring class

• Diversified financial

products

• Tailored products to

serve the aspiring class

• Inefficient operation with

complex process

• 10 - 14 business days

for credit card approval

• Fast product iteration

and quick response

• Tech-enabled risk

assessment and control

Conducting business in strict accordance with regulation requirements

Multi-finance license approved by OJK

• According to Article S-2218/NB.111/2018 from OJK, Akulaku obtained the authority to undertake the

finance business with the compliance of the regulation by OJK

Lending and financing license approved by SEC

• According to Certificate of Authority No.1830 from SEC, Akulaku obtained the authority to undertake

the lending business with the compliance of the regulation by SEC

• According to Certificate of Authority No.1147 from SEC, Akulaku obtained the authority to undertake

the financing business with the compliance of the regulation by SEC

Marketplace license approved by BKPM

• According to Article 1293/1/IU/PMA/2018 from BKPM, Akulaku obtained the authority to undertake

the ecommerce business with the compliance of the regulation by OJK

6

Also recognized by the World Bank's IFC organization

“Financial inclusion is broadly recognized as critical to

reducing poverty and achieving inclusive economic

growth. It also has positive effects on consumption,

employment status and income, and on some aspects of

physical and mental health.”

7

Business and Traction

8

Akulaku App

Mobile Shopping Venue

3rd Party Platforms

&Offline Stores

Cellphone Merchants

Cash Loan Shopping installment

E-Commerce

Business

Consumer

Finance

Business

We provide competitive E-commerce based consumer finance services

9

Whitelist ReferrerAkulaku Pay

Payment Channel

Shopping installment

Akulaku Credit Line

Payment Channel

Multi-dimensional financial products to meet customer needs

10

Online shopping

mobile app

Akulaku Pay embedded in

3rd party platform

Online personal

cash loan

• Terms: 3/6/9/12 months

• Average duration: 7 months

• Provide end customers with installment

loans for online shopping on Akulaku

App

• Both direct sales and market place

sales with a focus on installment-

friendly products

• Leverage Akulaku App to acquire and

retain customers

• Embedded as an installment payment

option on 3rd party platforms’ check-

out page

• Major E-commerce platform partners

include Bukalapak, Blibli, JD ID, plus

other 50 platforms in pipeline

• Bring strategic value to acquire

customer traffic and data

• Terms: 8/15/22/30 days

• Average duration: 20 days

• Instant and flexible micro cash loan for

creditworthy users from the “White

List”

• Akulaku’s new business to meet

various financial needs

• Improve user’s risk profile with

diversified data sets

Keep launching new products to build the ecosystem

11

Akulaku pay with offline barcode

• Launched in mid Aug 2018

• To expand into more offline use cases

• With more than 82k merchants

onboard by 23rd of November

• Provide end customers credit for

paying bills offline – pay in 30 days

• Major merchants include street

restaurants, coffee shops and

convenient stores

• Launched in Sep 2018

• To acquire and retain merchants in the

ecosystem

• B2B ecommerce service

• Akugrosir is started as a goods

supplier for merchants like Indomaret

and Alfamart

• It will be a financing provider for the

whole supply chain in future

Akugrosir with goods and credit

for merchants

To Customer To Merchants

Through a tech-driven and data-driven business model

12

Distinct data generated from millions of

users and tens of millions transaction volume

Access to credit bureau data

as well as civil data

Unique data such as biometric

features, historical transactional

and repayment data

230/1,300

tech team proportion

Cutting edge machine learning and

biometric recognition technology

Credit scoring system

Massive data from

diversified sources In house

risk technology

Although in a tough market with weak credit infrastructure, we successfully built up our own effective

risk management system through which we have achieved a satisfactory risk control performance.

With the most powerful and holistic risk management system

13

<1 SecondAnti-fraud risk detection

speed

~98.8%Voice & speaker recognition

Accuracy2

0.01 SecondFace detection & recognition

reflection speed

<30 minAssessment Time1

Application

Assessment

Activation Order

Risk Management

Ongoing

MonitoringPlacing Order

Massive Data Collection：

Users’ primary data

Mobile data

User behavioral data

User transactional and

repayment data

Biometric data

Cutting-edge Algorithm：

Rule-based engine

model to detect potential

risks

Machine learning models

to assess fraud and

credit risks

1. Overall platform assessment time in Indonesia is over 2 hours;2. experimental accuracy

Automatic

Repayment Reminder

Calls & SMS

Collection

Field Agents

Collection

Loan Origination Loan Maintenance Loan Recovery

Partnering with established institutions in local markets

14

E-commerce platforms Credit bureaus Local Banks

Supported by diversified funding partners with decreased funding cost

1515

• Chinese overseas P2P lending platform

• Japanese P2P lending platform

• Self-operated P2P lending platform

P2P

• Reputable international credit funds with

professional support and low cost of funds

Global Credit Fund

• First fintech company partnering with Indonesia local

bank

• Signed MOU with Shinhan Bank, one of the top

commercial banks in Southeast Asia

Local Bank

Exponential user growth in the past 2 years

16

Accumulated credit users Daily active users

+ 1562x + 932x

We generated a large

credit user base 1562

times bigger than the

beginning

DAU in single month

increased 932 times

compared to our first

month

Updated by 31th Oct 2018

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

Jun-1

6

Jul-

16

Aug

-16

Sep

-16

Oct

-16

No

v-16

Dec

-16

Jan-1

7

Feb

-17

Mar

-17

Ap

r-17

May

-17

Jun-1

7

Jul-

17

Aug

-17

Sep

-17

Oct

-17

No

v-17

Dec

-17

Jan-1

8

Feb

-18

Mar

-18

Ap

r-18

May

-18

Jun-1

8

Jul-

18

Aug

-18

Sep

-18

Oct

-18

-

100,000

200,000

300,000

400,000

500,000

600,000

Jun-1

6

Jul-

16

Aug

-16

Sep

-16

Oct

-16

No

v-16

Dec

-16

Jan-1

7

Feb

-17

Mar

-17

Ap

r-17

May

-17

Jun-1

7

Jul-

17

Aug

-17

Sep

-17

Oct

-17

No

v-17

Dec

-17

Jan-1

8

Feb

-18

Mar

-18

Ap

r-18

May

-18

Jun-1

8

Jul-

18

Aug

-18

Sep

-18

Oct

-18

High conversion rates along the customer journey

17

30% monthly repurchase rate

of customer cohort

Registration Application Repurchase

Customer acquisition Risk Assessment Purchase RetentionData collection

Approval Order

1,763,256

3,466,071

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

2017.1-12 2018.1-10

Ordered users

$172,941,879

$531,511,813

$0

$100,000,000

$200,000,000

$300,000,000

$400,000,000

$500,000,000

$600,000,000

2017.1-12 2018.1-10

GMV

897,854

2,055,252

-

500,000

1,000,000

1,500,000

2,000,000

2,500,000

2017.1-12 2018.1-10

Total credit users

6,655,206

18,784,290

-

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

14,000,000

16,000,000

18,000,000

20,000,000

2017.1-12 2018.1-10

Number of orders

Outstanding performance of 2018.1-10 compared to 2017.1-12

18Updated by 31st Oct 2018

207%

129%97%

182%

Strong revenue & profit performance from both E-commerce and financial services

19

4%Gross margin on direct sale goods

1%-3%Transaction service fee

46.58%Total gross margin

90%Gross margin on loan services

Revenue bridge (‘000)

Gross profit bridge (‘000)

Updated by 31st Oct 2018

Strategy and Future

20

Fast evolving to serve lifetime financial needs of targeting customers

21

Credit Product

All in One

Digital Credit Card

Fintech Driven

Online Retail Bank

SME loans

Personal

loans

Revolving

credit

Online shopping

installment

Transaction

service

Multi scenes

payment service Online & offline

merchant coverage

Cash loan

Supply chain

financing

The business is expected to keep climbing rapidly in the future

22

2018

2019

2020

• 2.2+ million credit users

• 3+ million monthly transactions

• 90,000 associated merchants

• Significant presence in several SEA

countries

Indonesia: $650+ million transaction volume

Vietnam & Philippines:

$30+ million transaction volume

700+ millionsTotal Transaction Volume

• Profitable on a full year basis

$2 billionTotal Transaction Volume

• $1+ billion revenue

• Expanding into more emerging market

outside of SEA

$4+ billionTotal Transaction Volume

23

Team and Capability

More services for

more users

Traffic monetization

Scenarios for

financing

Offline expansion

through credit

payment

Strategic Partnership with Ant Financial

24

Traffic&Data: Payment

gateways and E-wallet

Payment aggregation

Online&Offline: E-commerce

platform, offline merchants and new

retailing

Use case

Stickiness&Monetization: Pay

in credit, consumer lending and

SME lending

Financing service

Till FY2036

Consumers：2BN

Merchants： 10MN Profitable SMEs

Alibaba Digital Economy

Long-term Vision Technical support

Operational support

User sharing

Akulaku Series D : $ 90 M

Backed by prominent international investors

25

Founded in Boston in 1992 and invested in more than 600

companies and made over 150 exits through IPOs and

M&A. It has invested in Baidu, Sohu, Tencent, 360.cn,

Ctrip, SouFun, Meitu, Tudou.com, Xunlei, Best Express,

etc.

Shunwei Venture Capital, established in 2011, and its

investors are from top international investment institutions. It has invested in OFO，XiaoMi，Fxtrip，Vancl, Boss and

so on.

Founded in 2006, manages seven us dollar funds and

five renminbi funds, with total assets under management

of nearly us $4 billion. Its successful investment project

experience includes Xiao mi, Meituan, Mogujie, bilibili,

mobike and so on.

Fidelity Investment Group, founded in 1946, with $1 trillion

in assets under management for more than 12 million

investors around the world, accounted for one-eighth of all

U.S. mutual funds, investors and fund markets are paying

attention.

Founded in 1972,has lots of global successful investment

experience, like Apple, Google, Cisco, Oracle, Yahoo,

LinkedIn and so on. Sequoia capital China portfolio

including Jingdong, Alibaba, ant, IQIYI, VIPshop, VIPKID,

Rumble Fish and so on.

A professional venture capital company owned by Lenovo

Group. Founded in April 2001. It has invested in La

Chapelle, Zuche.com, Fortinet, BitAuto, ST&SAT,

Spreadtrum, iFLYTEK, renren.com, peak, zhaopin.com, etc.

Global team with Chinese fintech expertise and local execution

26

86+ Vietnam based employees

1,200+ employees in Indonesia, mainly work in marketing

department as well as collection and customer services

38+ Philippine based employees

300+ Shenzhen based employees, and 230+

of which are in the R&D department responsible for

risk management system and technology

New tech center in Beijing with

Scientists and Veterans from

famous universities and companies

Passionate and ambitious management team(1/2)

27

William LiFounder & CEO

Gordon HuCo-founder & CTO

More than 10 years in financial industry

PingAn Investments, investment manager

King & Wood, M&A and private investment

More than 15 years in technology R&D and

implementation

CITIC Securities, senior software engineer in

quant trading and algo trading

Tencent, senior software engineer

Oracle, technical consultant

Washington and Lee University, M.A. in Law

Tsinghua University, B.A. in Law

University of Liverpool, M.S. in Computer

Science

Sun Yat-Sen University, B.S. in Physics

Passionate and ambitious management team(2/2)

28

Jane JiCFO

Tengqi YeChief Data

Scientist

Jason GuoCOO

PeterDirector of AFI

Arbor Ventures, Fintech

Investment

Citic Securities, IPO & cross-

border M&A

An expert in machine learning

and data analytics, and

funded by Irish Research

Council as a non-EU (non-

European) resident

Sophisticated data analyst for

over 6 year

One of the founding

employees in the group. In

charge of comprehensive

business operation in

Akulaku.

PKU and HKU, dual M.A in

Finance and Economics

PKU, B.A. in management

Dublin City University, PhD. in

Computer Science

Northeastern University, B.S.

in Software Engineering

Zhejiang University, B.A. in

Mathematics

General Manager at PT

Maxima Auto Finance,

focused on arranging,

managing budget, and taking

responsible of the financial

flow

STIE Trisakti, Bachelor in

accounting

Won Infobank Multifinance

Awards 2013

29

Appendix

Founded

• “Silvrr” app - Cross

border remittance

service targeting

Southeast Asia labor

forces in Hong Kong

Akulaku App & Installment

• Akulaku App

launched in Indonesia,

Malaysia, and the

Philippines

• Mobile shopping and

installment went live

Cash Loan

• Cash Loan

was launched and

referred through

whitelist

Notable milestones along with fast growth

30

Akulaku Pay

• Akulaku Pay

was launched

• First 5 million

registered users on

Akulaku App

2014.5 2016.6 2017.8 2017.11 2018.8

Offline Pay

• Offline Akupay

The finance regulatory system in Indonesia

31

• P2P lending

• Crowdfunding

• Digital banking

• Insurtech

• Fintech in capital markets

• Venture capital

• Online financing

• Data security

• Consumer protection

• eWallets

• Payment gateways

• Principles

• eMoney

• Switching companies

• Card issuers and

acquires

• Clearing houses

• Settlement agencies

• Cryptocurrency and

blockchain

• National payment

gateways

• Parties that support

payment transactions

Indonesia has a straight forward financial service supervision system, the authorities are mainly

distributed between Bank Indonesia and OJK for distinctive sub areas

32

Virtual credit card in Southeast Asia market