WeLab’s $220M Raise Shows Institutional Bet on Asia Fintech
- WeLab secured $220M in Hong Kong via mixed debt and equity from global institutions.
- Funding backs Southeast Asia expansion, acquisitions and licensed digital banking growth.
- HSBC, Prudential and Hong Kong state capital signal strong regulated fintech support.
WeLab secured $220 million in Hong Kong through a mixed debt and equity round involving major global institutions. The funding included HSBC Holdings, Prudential Hong Kong and Hong Kong Investment Corporation. The round supports Southeast Asia expansion, technology development and acquisitions while reinforcing regulated digital banking growth linked to Web3 infrastructure.
Institutional Capital and Strategic Participation
WeLab confirmed the financing represents its largest funding round since its 2021 raise. HSBC Holdings Plc and Prudential joined as key participants in the deal. The investor list also includes Fubon Bank (Hong Kong), Allianz X, TOM Group and Hong Kong Investment Corporation.
According to WeLab, the round combined both equity and debt instruments. However, the company did not disclose its latest valuation following the transaction. People familiar with earlier discussions said WeLab explored a potential $2 billion valuation during 2022 talks.
The breadth of participants highlights institutional engagement across banking, insurance, and government-linked capital. Hong Kong Investment Corporation’s involvement stands out within the group of investors. The fund manages HK$62 billion and has invested in more than 100 projects, according to public disclosures.
Notably, this is the corporation’s first publicly known investment in a consumer finance company. Officials previously reported that every Hong Kong dollar invested attracts over four dollars in long-term capital. That structure aligns with WeLab’s regulated banking footprint and regional expansion plans.
Regional Expansion and Digital Banking Footprint
Following the funding details, WeLab outlined how it plans to deploy the capital. The company said it will focus on Southeast Asia expansion and potential mergers and acquisitions. Indonesia remains a central market within that strategy through Bank Saqu, its licensed digital bank.
Bank Saqu attracted more than two million customers within its first year of operations. The growth points to strong regional demand for app-based banking that operates within clear regulatory rules. WeLab also runs WeLab Bank in Hong Kong and lending platforms in mainland China.
Across these regions, the company now serves over 70 million individual users and works with more than 700 business clients through its consumer finance and digital banking services. This scale makes WeLab one of Asia’s largest regulated fintech players.
That said, expansion is limited by licensing rules. In August 2024, Hong Kong regulators confirmed they would not issue any new digital banking licenses. Since March 2019, regulators have approved only eight digital banking licenses.
That restriction increases the strategic value of existing license holders like WeLab. The funding therefore supports asset optimization rather than license expansion. Next, the company aims to pursue growth through geography and technology rather than regulatory entry.
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AI Development, IPO Plans and Market Timing
Beyond expansion, WeLab confirmed the funding supports advanced technology development. The company recently announced artificial intelligence initiatives in partnership with Google. Those plans include AI agents, personalization tools, and updated digital marketing systems.
WeLab also invested in building staff skills to match its technology plans. The company said it will train all employees in AI-related financial tools by the end of the year. This push supports its operations across multiple markets and its focus on data-driven banking services.
Meanwhile, the funding arrives as Hong Kong’s IPO market shows renewed activity. Several high-profile listings launched this year, including MiniMax Group Inc., according to exchange data. Against that backdrop, WeLab reiterated its interest in a public listing.
Founder Simon Loong said the company remains open to an IPO. However, he said the latest funding reduces pressure to list immediately. WeLab previously filed for a Hong Kong IPO in 2018 but later postponed the plan.
The company last raised external capital in 2021 through a $75 million round. That raise was led by Allianz X, which also participated in the current financing. These rounds reflect sustained institutional engagement with WeLab’s regulated fintech model.
The $220 million raise consolidates participation from banks, insurers, and government-linked investors across Asia. It also supports Southeast Asia expansion, AI development, and licensed digital banking operations. At the same time, the funding aligns with existing regulatory frameworks.
