Builk One Group has received a new joint investment from 3 partners included SCG, Krungsri Finnovate, and BCH Ventures to enhance the extension of related financial technology (FinTech) services.
This investment is a strategic investment that will jointly drive the software services group (Software-as-a-Service) for the construction and real estate industry, which Builk One Group offers a comprehensive range of Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), and Construction Technology software services for the management of “Cost-Time-Quality” for construction and real estate projects which covers Digital Transformation connecting stakeholders throughout the supply chain leading to the extension of related financial technology (FinTech) services.
In addition, the acquisition of new alliances as a provider of telecommunication and information technology will help support the strong expansion of Builk One Group’s solutions on a secured cloud infrastructure that is suitable for current and future work patterns.
The construction industry is a large industry that drives the economy both domestically and regionally. Nowadays, modern technology is being adapted to increase work efficiency and reduce risks in business management.
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According to the investment, SCG Distribution Company Limited, Cement-Building Materials business of SCG, reinforces its policy to grow with innovation by jointing investment in Builk One Group to develop a digital platform to increase work efficiency for the construction industry as well as the ecosystem covering construction material, manufacturers, contractor, supplier, project owners, and customers to work together seamlessly. It is also to enable the construction industry to grow sustainably. It will also enhance SCG’s ability to expand its business through other platforms and able to expand the network to foreign countries more quickly.
Bunn Kasemsap, managing director of SCG Distribution Company Limited, SCG’s Cement-Building Materials Business, said that this investment is considered a combination of SCG’s strengths which is a leader in the production and distribution of construction materials with a strong distribution network; and Builk One Group, a specialist in digital platforms that can reach customers in the construction and real estate business as well. This collaboration will enable all sectors in the construction industry ecosystem to effectively connect and access construction products and services.
The first project will begin with the development of a platform that empowers large contractors. Including medium and small contractors, End-to-End Solution enables effective project management. Both have quick access to technology and building materials products through SCG’s network while helping to control costs and turnaround time professionally.
“SCG has continuously invested in digital technology, according to the company’s innovation development strategy. We foresee that digital technology will be the thing that will drive the construction industry by leaps and bounds,” said Bunn.
Sam Tanskul, managing director at Krungsri Finnovate said that this investment in Series B+ with Builk One Group will complement the Krungsri Group’s Living Ecosystem strategy and will support the expansion of strategic cooperation in the future, especially collaboration to expand customer base and create value for banking services such as payment solutions, providing credit or other financial products by relying on the available database and so on. It is including creating opportunities to help various groups of Krungsri business customers especially SMEs in the construction business to gain access to tools that could help enhance business efficiency.
In addition, Krungsri will also be able to leverage Krungsri and MUFG’s strengths in the ASEAN region to help promote business expansion opportunities abroad in line with the goals that the Builk One Group has set.
He added that construction business is an important business for the Thai economy due to a large number of infrastructure-related projects. Builk One Group is a tech start-up that specializes in construction and real estate businesses using a platform that covers all dimensions as an important mechanism in such businesses in Thailand and ASEAN. It also proves the growth rate of the business in the past, even though the industry may have been affected by COVID-19 for some time, it still has the potential to grow continuously.
However, Krungsri plans to invest further and seeks opportunities to work with new startups using their strengths in capacity building and collaboration.
Pirachai Bencharongkul, Investment Director of BCH Ventures Company Limited (BCH Ventures), under Benchachinda Group, said that investing in Builk One Group, this time, it looks at the return on investment for medium-term returns as well as extending the service platform between investors and portfolio companies.
BCH Ventures’ investment approach will consider investments into 2 types included medium-term (1-5 years) and long term (5+ years).
The businesses that BCH Ventures are interested in investing in are mostly considered from the executives or founder who founded the company, the talented team and type of business that BCH Ventures focuses on, such as businesses that create innovations to support AI in the future, as well as potential businesses that can be extended to synergy with the business of Benchachinda group of companies.
“Builk One Group management team have profound knowledge of construction business know the pain points of the construction work, therefore, starting with the idea of developing a platform to meet the contractors. Currently, Builk One Group has strong investment partners in every aspect which I see that this investment is fully responsive to the investment of BCHV and can synergy with the group in the future and expects to see returns from this investment in the medium term within 3 years,” said Pirachai.
Builk One Group is the developer of enterprise management solutions and E-commerce platform for the construction and real estate industries, e.g. Builk.com, Pojjaman, Jubili by Builk, Yello Smart Purchase.
It is a Thai tech startup with over 16 years of experience in building construction management software before expanding and creating new business model innovations to continue doing Big Data business in the construction industry and providing services. The e-commerce sells B2B construction materials with a total solution for user base of more than 40,000 businesses in ASEAN.
SCG is a leader in building materials innovation in Thailand and the ASEAN region; Krungsri Finnovate is a Corporate Venture Capital firm (CVC), a subsidiary of Krungsri Group, a leader in supporting and investing in innovative technologies and startups both nationally and regionally, and BCH Ventures under Benchachinda Group is a leader in providing telecommunication technology and digital solutions in Thailand and the ASEAN region.