Filinvest Development Corp., the investment holding company of the Gotianun Group, said it will dissolve its venture Investree Philippines, seeking regulatory approval to shorten the corporate life of the country’s first licensed crowdfunding platform by September next year.
Investree Philippines is a joint venture of FDC subsidiary Digital Innovations and Ventures Inc. and Investree Singapore Pte. Ltd. It secured a license to operate in the Philippines in 2021.
Investree Philippines was organized to help fill the more than USD200 billion credit gap in the country’s micro, small and medium enterprises as well as provide needed capital by connecting startups with potential investors.
The dissolution is apparently an offshoot of the troubles of Investree Indonesia, whose former chief executive officer is being investigated by authorities for allegedly diverting Investree funds to his personal account and even using the company to guarantee obligations of a company the executive owns. The Indonesia event undoubtedly will have an impact on the reputation of Investree PH.
FDC told the Philippine Stock Exchange on Friday that “Investree PH is working diligently to facilitate a smooth transition following due process in accordance with SEC regulations.”
The listed investment holding company gave assurance that all Investree PH stakeholders, including investors, SME partners and employees, are being properly informed of the unwinding of company operations.
“The company will continue to facilitate the payment of notes according to the terms and conditions of its agreements,” FDC added.
FDC said the dissolution of Investree PH will have no material effect on the listed company’s consolidated earnings forecast for the current year.
