Salmon secures P8.8 billion to boost Philippines operations

MANILA, Philippines — Financial technology firm Salmon Group has secured $140 million (about P8.8 billion) in additional financing to expand its lending operations and introduce new loan products across the Philippines.

In a statement yesterday, Salmon said the financing consists of $90 million in commitments from Spice Expeditions, WashU and Moore, alongside $50 million in bond proceeds.

Bonds are debt instruments that allow companies to raise funds from investors, typically in exchange for periodic interest payments and repayment of the principal upon maturity.

The fresh funding will support the expansion of Salmon’s existing credit products, including its Salmon Credit Line and in-store lending services, while financing the nationwide rollout of motorcycle loans and financing for micro, small and medium enterprises (MSMEs).

Salmon co-founder Pavel Fedorov said the additional capital would allow the company to reach more underserved Filipinos and strengthen its presence in the country’s financial services market.

“This financing lets us do more: extend banking and credit access to more Filipinos, roll out new products and keep raising the bar for the financial services industry in the country,” Fedorov said.

The latest financing comes as Salmon seeks to capitalize on demand for accessible credit and digital financial services in the Philippines, particularly among borrowers with limited access to traditional banking products.

“Everyday financial services come with unnecessary friction for many Filipinos. We’re removing these barriers and building innovative products with the reliability and security customers expect in today’s world,” Fedorov said.

Founded in July 2022, Salmon operates through two regulated financial institutions – Salmon Bank (Rural Bank) Inc., which is licensed by the Bangko Sentral ng Pilipinas, and Salmon Finance Inc., a financing company licensed by the Securities and Exchange Commission.

Through Salmon Finance, the group uses an artificial intelligence-powered credit assessment system to evaluate borrowers, including those with limited credit histories, and provide lending decisions within minutes.

Salmon is backed by international investors, including the International Finance Corp., the private sector investment arm of the World Bank Group, ADQ/Lunate and Antler, alongside Filipino investors.