Top Most Valuable Unicorns In Thailand 2022

Top Most Valuable Unicorns In Thailand 2022

Unicorns are startups that reach $1 billion in valuation in the venture capital industry. As a unicorn, the 39 startups with a valuation over $1 billion were first referred to by Cowboy Ventures founder Aileen Lee. To emphasize the rarity of such startups, the term was first used. It has remained the same since the term was first used. Unicorn populations have, however, increased.

 

Unicorn startup features

Unicorns are not easy creatures, and each one has a unique story with a variety of characteristics that contributed to its success. Here are a few things we see among unicorns in common:

• A unicorn, on the whole, has brought disruption to the field to which it belongs. An example is Uber, which revolutionized the way people commute. Travellers changed how they planned their stay with Airbnb, and Snapchat disrupted how they used social networks etc.
• Unicorns seem to be the ‘firsts’ among their peers. Through their influence, they change people’s ways of doing things and gradually become a necessity. Innovation is also a key strategy to stay ahead of competitors so that they can benefit from a boom in the future.
• A common trend among unicorns is that their business models are driven by technology. An app like Uber helped Uber get its model accepted. Through the use of the world wide web, Airbnb made the world seem smaller. 

Eighty-seven per cent of unicorn products are software, 7 per cent are hardware, and 6% are other products and services, according to a recent report.

• A majority of unicorns are consumer-focused. 62% are B2C companies. Consumers come to them for easy-to-use solutions that are part of their everyday lives. Startups are also known for keeping things affordable. Take Spotify, for instance, which enables people to listen to music on the go. 
• When a well-established company invests in unicorns, their valuation increases, most unicorns are privately owned. 

Approximately 361 private companies around the world have a market value of over $1 billion, according to CB Insights. India has 16 companies in this category, taking up 4 per cent of the overall market share. Furthermore, India is just marginally below the UK, where there are 19 unicorns, and where the overall share is 5 per cent.

 

Is a unicorn exclusive to startups?

Yes, it is true. ‘Unicorns’ are companies whose valuation exceeds a billion dollars. Startups with a valuation of more than $10 billion are referred to as decacorns (super unicorns). Among the examples of decacorn are Dropbox, SpaceX, and WeWork. 

 

Top Most Valuable Unicorns In Thailand In 2022

1. Flash Express – The first unicorn

Founder: Mr. Komsan Saelee

Business: Flash Express Logistics and E-commerce Company (Flash Logistics, Flash Fulfillment, Flash Home, Flash Pay, Flash Money)

A value of more than 30 billion baht will be achieved by May 31 2021, resulting in the company becoming the first unicorn in Thailand. E-logistics is considered a growing business. Consumers are turning to e-commerce more and more, and even more during a pandemic situation such as Covid.

Transportation is an increasingly important factor. By providing low-priced delivery services at a rapid pace, Flash service was initially designed for online sellers selling through social commerce platforms such as Facebook, Instagram, and LINE. The business meets the needs of people in the current age and is a hot one. Using its door-to-door pickup and delivery service, Flash Express provides logistics and transportation services. In order to increase operational efficiency and to offer competitive prices, the company uses its own technology, and Big Data developed in-house.

Additionally, besides Flash Express, the company offers other services that cover all the aspects of being an integrated E-Commerce service provider, such as Flash Logistics, which offers large items delivery service, and Flash Fulfillment, which handles goods storage, as well as Flash Money, which provides financial services. Bangkok, Thailand, is the company’s headquarters.

Komsan Lee, a recent investor in Flash Express, closed investment deals worth $150 million or 4.7 billion baht with Buer Capital Limited, SCB 10X and others in June. In less than three years, it has raised more than $1 billion, and as a result, the company’s value has soared to over 30 billion baht, making it the first Thai startup to reach this fundraising goal. With more than 2 million parcels handled per day, Flash is now Thailand’s number one private courier.

 

2. Ascend Money: A fintech unicorn

Founder: Mr Supachai Chearavanont

Provides digital wallet services (True Money, Ascend Money, Ascend Nano, Ascend Assurance, Ascend Wealth) through its subsidiary Ascend Money Company Limited (AML).

CP, Bow Wave Capital Management, Ant Group, etc., are among the investors in the company, which exceeded $1.5 billion as a result of the Series C capital expenditure on September 27, 2021.

TrueMoney, a subsidiary of CPGroup that was founded in 2011 with the purpose of making the E-Payment application, is part of the Ascend Group and is one of the leaders in the E-Wallet industry. It is also known as an Online wallet, as you won’t have to worry about dropping or stealing cash when you don’t have to carry it.

Pay bills and top up your account. Use a variety of services anytime and anywhere. An electronic commerce company spun out of True Corporation; Ascend Group is headquartered in Bangkok, Thailand. Through the launch of affiliates in the Philippines, Indonesia, Vietnam, as well as hard-to-reach economies like Myanmar and Cambodia, it marked its $150-million expansion.

Through a fundraising partnership with Bow Wave Capital Management and Ant Group, Ascend Money, part of CP Group, raised $150 million, boosting the company’s value to $1.5 billion. In 2020, the company’s flagship service “True Money” recorded more than 2.2 billion transactions worth $14 billion, ranking first among e-wallet platforms in Thailand with more than 20 million domestic users. By the end of 2020, True Money is set to reach 50 million users in six Southeast Asian countries.

 

3. Bitkub – A crypto unicorn

Founder: Mr Jirayut Supsriocha

Business: An online digital coin trading website operated by Bitkub Online Co., Ltd., a subsidiary of Bitkub Capital Group.

A total of 17.850 million baht was invested in SCBX’s investment on November 2, 2021, bringing the company’s entire value to more than 35 billion baht, making it the third unicorn in Thailand.

Investing in Bitkub Online Company Limited, a subsidiary of Bitkub Capital Group, an online trading website for digital coins, was a big deal in the last few days when Siam Commercial Bank announced its investment. Business is conducted on the stock exchange using blockchain technology.

We’ve put together the top three Unicorn startups that have shaped the startup industry remarkably. The first company to launch would probably have the best chance. I think we may soon see a number of Thai unicorn startups.

Thailand-based Bitkub Online Co., Ltd. operates as the exchange under Bitkub Capital Co., Ltd., a subsidiary of Bitkub Capital Group Holdings. A digital asset license was granted to it by the Securities and Exchange Commission (SEC) of Thailand in 2019, shortly after the exchange was founded by Jirayut Srupsrisopa.

Based on data from regulated exchanges from 2021, it claims to be the country’s largest cryptocurrency exchange. Thailand’s first unicorn startup company was valued at over $1 billion and will become one of Thailand’s first unicorns after Siam Commercial Bank Group announced its intention to purchase a 51-per cent stake in the company for 17.85 billion baht (US$537 million).

As part of SCB Group’s ‘Thought Leadership’ initiative, SCBX, the ‘Mothership’ company, recently announced the acquisition of 51 per cent of Bitkub Online Ltd., a leader in digital asset exchanges and well known for cryptocurrencies. The deal has made Bitkub Thailand’s third unicorn startup, valued at over 35 billion baht, with SCB Securities (SCBS) holding shares worth 17.85 billion baht as part of building a digital asset ecosystem with Bitkub.

Based on data from regulated exchanges from 2021, it claims to be the country’s largest cryptocurrency exchange. Thailand’s first unicorn startup company was valued at over $1 billion and will become one of Thailand’s first unicorns after Siam Commercial Bank Group announced its intention to purchase a 51-per cent stake in the company for 17.85 billion baht (US$537 million).

As part of SCB Group’s ‘Thought Leadership’ initiative, SCBX, the ‘Mothership’ company, recently announced the acquisition of 51 per cent of Bitkub Online Ltd., a leader in digital asset exchanges and well known for cryptocurrencies. The deal has made Bitkub Thailand’s third unicorn startup, valued at over 35 billion baht, with SCB Securities (SCBS) holding shares worth 17.85 billion baht as part of building a digital asset ecosystem with Bitkub.

Before the year ends, there are two more months left. Thailand’s startups are on the rise, so don’t be surprised if the fourth or fifth unicorn emerges before 2022.

 

Unicorns and the Magic Touch

A multitude of affordable resources and a supportive government have made Thailand a world-renowned potential startup testing ground. Local and foreign venture capitalists are also attracted to Thai startups, some of which are so promising that they are thought to reach unicorn status soon.

The number of tech startups in Thailand has grown tremendously in recent years, and nearly 100 entrepreneurs have been funded by investors and venture capital firms. Startup funding has increased dramatically in the past decade, with USD$2.1 million in 2012 rising to USD$97.6 million in 2019, up 4547.6% from USD$2.1 million. Since the beginning of the year, there has been more than USD130 million committed. 

It is vital that startups have access to funding if they want to continue to innovate and upgrade their products and services as well as expand internationally. Thai commercial banks introduced venture capital subsidiaries in 2016-2017 as a way to promote innovation and redefine banking in a digital era. In Thailand, there are Bualuang Ventures, Krungsri Innovate, Beacon VC, and Digital Ventures. In April, KT Ventures was established by Krungthai Bank.

Thai venture capital firms based in Silicon Valley also fund startups all over Southeast Asia, including 500 Tuk Tuks and SeaX Ventures. Openspace Ventures, Golden Gate Ventures, Insignia Venture Partners, Vertex Ventures, Gobi Partners, and Monk’s Hill Ventures are among the leading venture capital firms investing in Thai startup companies. An investor matchmaking session was held by the KK Fund in March, with the aim of matching 20 investors with Thai startups.

A joint venture between two public and private groups – InnoSpace Thailand Co., Ltd., and PTT, the electricity generating authority, and the Industrial Authority of Thailand – has also provided funding to startups.

 

Aiming to become a unicorn 

It is the dream of every startup to reach the unicorn stage with a company value exceeding USD$1 billion. HealthTech is regarded as having the most significant potential to become a unicorn, followed by FinTech.

A leading online payment gateway, SYNQA (formerly Omise Holdings), is expected to become Thailand’s first unicorn. The company was founded in 2013, and it provides online businesses with a variety of payment processing solutions.

In June 2020, SYNQA announced that, following an undisclosed funding round from Nomura Holdings last year, a Series C round led by SPARX Group and SCB 10X raised USD$80 million. Funding from this round of financing will enhance SYNQA’s capacity to develop services and a technology stack for businesses and merchants across Asia.

In order to expand its business into Asean member countries, Finnomena, a leading Thai FinTech company specializing in wealth management and one of the most promising startups in Thailand, has set a target to increase its assets under management (AUM) from USD$270 million to USD$3 billion (90 billion baht) by 2023. As part of a Series B funding round, the company raised $13.5 million in January.

FlowAccount, Claim Di, eCommerce, Ookbee, Pomelo, Eatigo, Hubba, Flash Express (Thailand), Freshket, and QueQ are other successful startups.

Digital Economy Promotion Agency (Depa) President and CEO Nuttapon Nimmanphatcharin say the agency will emphasize starting up Thai companies from seed until they reach “Series A” level by fiscal 2021, as well as to create the first Thai unicorn by that time.

Aside from Fintech, other technologies are expected to experience exponential growth, such as agricultural technology (AgTech), travel-related technology (Travel Tech), health-related technology (Health Tech), and food technology (FoodTech).

 

An ecosystem for startups 

Thailand’s thriving startup ecosystem with state-of-the-art infrastructure is helping create a richer mix of connections between international startups, entrepreneurs, tech companies, accelerators, incubators, and academia.

A 30-rai plot of land in the Eastern Economic Corridor of Digital (EECd), or Digital Park Thailand, is being developed by the depa as the Thailand Digital Valley.

According to Dr Nuttapon, the first building, the Digital One-Stop Service Centre, is complete and has been occupied by startups already. In addition, three buildings are under construction, including the Center for Digital Start-up Knowledge Exchange, the Centre for Digital Co-creation & Innovation, and the Centre for Digital Edutainment.

Startups can also partner with global companies through the Thailand Digital Valley.

A joint venture company, WHA Tus Co., Ltd., has been established as an innovation and incubation centre for startups by WHA Industrial Development Plc, Thailand’s leading developer of industrial estates, and Tus Holdings, a global science and technology company based in Beijing.

In partnership with Chinese government authorities, universities, and research institutes, TusPark WHA Incubation Centre will establish an innovation ecosystem at Chulalongkorn University that will boost the growth of Thai startups and provide a bridge for Thai entrepreneurs to access Chinese talent, investment, and markets.

In October last year, Thailand’s True Digital Park developed the Groundbreakers Club, the first exclusive network of successful startup founders committed to continuing the Thailand startup movement.

Furthermore, SPACE-F, the first global food tech incubator and accelerator in Thailand, launches Batch-II of its world-class Accelerator and Incubator programme that connects leading corporations and startups in food tech.

Founded by Thai Union Group, the National Innovation Agency, and Mahidol University, SPACE-F acts as a platform connecting companies, venture capitals, venture capital firms, universities, and governments to develop and promote deep-tech and innovative startups in the food technology industry.

 

Developing startups 

When setting up a company, every startup must think about many things, including legal, financing, sales and marketing, human resources, and more. But as entrepreneurship grows in popularity, this burden is gradually being erased. 

Startups aren’t the only ones setting the pace. Thailand attracts young talent from abroad due to its expanding network of incubators, accelerators, and co-working spaces, as well as investors at every level: Angel Investors, Venture Capitalists, even Corporate Venture Capitalists. 

As a national platform, startupthailand.com supports and encourages the growth of entrepreneurship in Thailand. The National Innovation Agency (NIA) provides funding and incubator, and accelerator programmes.

The NIA has also partnered with private companies to develop a global hub to provide startups with a “One-Stop-Service” from the moment they are conceived through the completion of their business venture. Chiang Mai & Co and District C at True Digital Park in Bangkok form two hubs.  

It is one of the critical government accelerators that is devoted to developing an ecosystem that will enable digital startups to thrive and build their businesses in both the domestic and global markets.  

The private sector is also contributing to the growth of startups in numerous fields. Incube, AIS the Startup, Kaungsri Rise, Kasikorn Katalyst, KT Ventures, Digital Ventures Accelerator, Siri Ventures, and SpaceF are included.

edited and proofread by nikita sharma