California-based gaming business Razer Inc has stated that it is leading a consortium of companies that has applied for a online bank license in Singapore, thus joining the race to shake up the Singaporean banking industry.
The company, which was founded by Singaporean entrepreneur Min-Liang Tan and Robert Krakoff has been listed on the Hong Kong Stock Exchange since November 2017.
Razer’s new fintech business will have a majority 60 per cent stake in the consortium that includes insurance firm FWD and Sheng Siong Holdings, a private vehicle of the Lim brothers behind a Singaporean supermarket chain.
Razer Fintech said its bid to set up a retail bank will leverage “on the strength of Razer as a lifestyle brand synonymous with the youth and millennial’s, Razer’s global presence and the innovative digital payments platform Razer Fintech has built.”
Other organisations involved in the consortium include Insignia Ventures Partners who are a VC firm based in Southeast Asia, along with vehicle marketplace Carro and mobile internet company LinkSure Global.
In related news, Ant Financial, which is an affiliate of the Chinese e-commerce giant Alibaba Group, has also joined the race for a online banking licence in the city state.
The moves follow the Monetary Authority of Singapore saying it will issue five licenses.
Efforts to open the banking sector in Singapore to tech companies come on the heels of a similar move in Hong Kong, where the likes of Tencent Holdings and others obtained licenses. Southeast Asia’s digital lending market is expected to more than quadruple to $110 billion by the year 2025, according to a recent report by Bain & Co.