Indonesian digital lender JULO has reportedly secured up to US$5 million in fresh capital from existing investors, as the fintech firm continues to pursue a larger fundraising round amid a challenging venture funding environment, according to DealStreetAsia.

Sources familiar with the matter indicate the top backers participating in the round include Credit Saison, Quona Capital, Skystar Capital, and East Ventures. The financing reportedly closed a few months ago.

JULO declined to comment to DealStreetAsia, citing a policy against addressing market speculation. A company spokesperson noted that the firm continues to receive shareholder support and remains focused on business fundamentals.

Preparing for a larger funding round

The recent capital injection serves as a financial bridge while JULO explores a significantly larger funding event.

The company previously engaged investment bank Evercore to advise on future fundraising, although the target size and timeline remain undisclosed.

Some early investors are evaluating liquidity options through secondary share sales. While JULO is not pursuing an outright sale, prospective buyers have expressed inbound interest in the firm.

Expanding the digital credit platform

Founded in 2016, JULO operates a digital revolving credit platform that provides users with a single credit limit for cash loans, bill payments, and e-commerce transactions.

The company uses proprietary credit scoring and machine learning to underwrite borrowers.

Approved customers can access credit limits of up to 50 million rupiah. The platform has disbursed over 28 trillion rupiah in loans to more than 3.3 million users across Indonesia since its launch.

A portion of these funds has been directed toward productive lending. The company noted in May that 6.3 trillion rupiah of those loans went to financing micro and small businesses.

Featured image credit: Edited by Fintech News Indonesia, based on image by roypankaj via Magnific