Kredivo Group’s acquisition of Timo marks the first publicly confirmed instance of an Indonesian buy now, pay later company absorbing a licensed digital bank in another Southeast Asian market, signaling a broader shift toward integrated fintech banking models across the region. The deal, completed months before its public disclosure, positions Kredivo to combine its credit infrastructure with Timo’s digital banking licence and user base in one of Southeast Asia’s fastest-growing fintech markets.
Key Facts At A Glance
- Kredivo Group acquired a 100% stake in Timo, Vietnam’s first digital bank, in an undisclosed transaction.
- The deal was first reported by Tech in Asia on March 12, 2026, based on sources familiar with the matter; DealStreetAsia independently confirmed the acquisition citing separate sources.
- Financial terms have not been disclosed; the transaction was reportedly completed several months before the public report.
- Kredivo Group co-founder and CEO Akshay Garg is expected to oversee operations of the combined entity.
- The Timo brand will be retained as the digital banking platform.
- Kredivo plans to invest approximately US$15 million in Vietnam over three years.
- Integration will proceed in two phases: migrating Kredivo’s lending technology into Timo’s platform, followed by the rollout of card-based payment products.
- Vietnam’s fintech market is valued at approximately US$4.33 billion in 2026 and projected to reach US$8.85 billion by 2031, according to Mordor Intelligence.
Kredivo Group, the Indonesia-based digital credit and buy now, pay later company, has acquired a 100% stake in Timo, Vietnam’s first digital bank, in a transaction whose financial terms remain undisclosed. The acquisition was first reported by Tech in Asia on March 12, 2026, citing sources with knowledge of the matter, and was subsequently confirmed by DealStreetAsia through separate sourcing. According to both reports, the deal was signed and closed several months prior to the public disclosure (fintechnews.sg, dealstreetasia.com).
Timo was founded in 2015 by Don Lam, who also serves as chief executive of asset management firm VinaCapital. Structured as a digital banking platform operating in partnership with a licensed Vietnamese bank, Timo offers payments, card products, investments, insurance, and instalment loans. It raised US$20 million in a 2022 round led by Square Peg, with participation from FinAccel, the parent entity of Kredivo, alongside StashAway, Pluang, Airwallex, Jungle Ventures, Granite Oak, and Phoenix Holdings. In 2023, the bank reportedly raised an additional US$10 million from existing investors. Timo has historically positioned itself as one of the first Vietnamese digital financial platforms to offer e-KYC services (dealstreetasia.com).
Kredivo’s Vietnam Expansion Strategy
Kredivo’s entry into Vietnam is not new. In 2021, FinAccel established Kredivo Vietnam Joint Stock Company through a joint venture with Phoenix Holdings, a Vietnam-based family investment office with positions in banking, consumer finance, and fintech assets including an earlier stake in Timo itself. The acquisition of Timo now consolidates what had previously been parallel but distinct positions into a single, integrated entity (vir.com.vn).
Following the acquisition, Timo will operate as a department within Kredivo. The Timo brand is expected to remain the consumer-facing digital banking identity, while Kredivo’s lending technology will power its credit products. Akshay Garg, co-founder and CEO of Kredivo Group, is expected to oversee the combined operations (dealstreetasia.com).
Kredivo has committed to investing approximately US$15 million in Vietnam over the next three years. Integration is planned in two stages. The first involves migrating Kredivo’s buy now, pay later and digital lending infrastructure into Timo’s existing banking platform. The second phase will introduce card-based payment solutions, expanding the product set available to Timo’s existing customer base (fintechnews.sg, vir.com.vn).
Market Context
Vietnam’s fintech sector has drawn sustained attention from regional and international investors. The country’s fintech market is valued at approximately US$4.33 billion in 2026 and is projected to reach US$8.85 billion by 2031, representing a compound annual growth rate of around 15.4%, according to Mordor Intelligence. The sector has benefited from a growing domestic digital payments ecosystem, a government-operated fintech regulatory sandbox, and improving financial inclusion rates.
Credit card penetration in Vietnam remains low relative to regional peers, a structural dynamic that has historically underpinned Kredivo’s BNPL model in Indonesia and now motivates its push into the Vietnamese market. The acquisition gives Kredivo direct access to Timo’s banking licence, infrastructure, and client relationships, reducing the regulatory and operational lead time that would otherwise be required to establish a greenfield digital banking presence.
Publicly available information on the transaction’s valuation, regulatory approval timeline, and current deposit or user base figures for Timo remains limited as of the date of this report.