(CNN Philippines, January 7) — The Securities and Exchange Commission gave its go signal to Investree Philippines, Inc. to operate a crowdfunding platform, targeted to connect local startups with banks and lenders to secure cash.
In a statement Thursday, the SEC said the Commission En Banc last December 22 allowed Investree Philippines, Inc. to operate a lending-based crowdfunding platform.
The firm, a joint venture of Filinvest Development Corporation and Investree Singapore Pte. Ltd., is the first crowdfunding portal registered with the SEC since the rules took effect last July 2019.
“The crowdfunding activities will involve banks or qualified buyers as lenders, and will be limited to small, medium and emerging enterprises as borrowers,” the SEC said.
According to the corporate regulator, a lending-based crowdfunding portal allows supporters to “lend money to the entrepreneur and receive his/her legally binding commitment to repay the loan at predetermined time intervals and interest rate.”
Investree Philippines’ role as a funding portal and a crowdfunding intermediary—which is still subject to its compliance with the SEC—shall be valid for one year, the commission said.
For possible extension, the SEC noted it would take into account Investree Philippines’ first 11 months of operations.
