A consortium led by Razer is the latest to join the race for one of Singapore’s five digital banking licenses.
The consortium includes the Singapore supermarket giant owners' – the Lim brothers – private vehicle Sheng Siong Holdings; Richard Li’s insurance firm FWD Group; internet entrepreneur Chen Danian’s tech company LinkSure Global; Insignia Ventures Partners; and Carro, an online marketplace for cars.
Razer, which leads the consortium, will own a 60 percent in the stake with the remaining five partners holding a 40 percent stake, according to an «SCMP» report citing a statement.
«We’ve thought about this long and hard,» said Lee Li Ming, Razer’s chief strategy officer and the newly appointed CEO of Razer Fintech as of January 1. «We believe that we can do something revolutionary here in Singapore.»
Targeting Millennials
According to Lee, the firm will target those in the age group of 12 to 35 years old due to the segment’s limited financial knowledge and challenges with entering the banking system due to a lack of savings and credit history. The firm will look to leverage its base of young users alongside its existing digital payment networks Razer Merchant Services and e-wallet service Razer Pay.
«Youth and millennials are underserved even in a crowded space like Singapore,» Lee commented. «We want to help them from a young age.»
Prior to the Razer-led consortium, Grab and Singtel were the latest to reportedly form a partnership to jointly bid for a digital banking license. The Monetary Authority of Singapore will announce the successful recipients of the digital banking clines in mid-2020.
