CFA Society Singapore
SINGAPORE (Nov 23): Spacemob, a co-working startup based in Singapore, today announced the closing of a record US$5.5 million ($7.85 million) seed funding round.
This represents “the largest seed funding round figure ever recorded in Southeast Asia”, announces the company in a Wednesday release.
In October this year, Spacemob launched its first local co-working space on Claymore Hill which the company says is already operationally profitable. Another two sites are due to open in Singapore and Jakarta in 1Q17, with the company planning to launch another 30 sites across Asia Pacific (APAC) within the next 36 months.
Spacemob is founded by Turochas ‘T’ Faud, who also established vacation rental site Travelmob which was since acquired by HomeAway in 2013.
Spacemob’s concept focuses on taking a management approach to co-working – where it works on a model “not unlike that of a hotel operator” by remaining asset-light while creating “big benefits to all parties that are involved”. According to the company, the result is a financial model that is easily scalable yet lower risk in nature.
"The idea is to allow our members to work at any of our Spacemob sites around the region, which appeals not just to frequent travellers and creatives, but also to SMEs and MNCs who wish to be more asset light. We add value by helping them to save on rental cost while allowing them to put their staff in a more dynamic and creative environment,” explains Faud.
Commenting on the latest seed funding round, he adds: "This is significant because it proves that the Spacemob concept has legs. Our aim is to change the game by disrupting the space industry.”
The seed funding round was led by Vertex Ventures Southeast Asia, a subsidiary of Singapore’s sovereign wealth fund Temasek Holdings. Vertex Ventures was also a venture capital (VC) investor in Grab, Reebonz and Paktor among other startup companies in Singapore.
Other primary investors comprise angels in the property and hospitality industries, as well as Alpha JWC Ventures out of Indonesia.