Wealthtech

Bambu Shuttered Operations in Dec 2023 After Failing to Achieve Profitability

Singapore-based fintech startup Bambu had shuttered its operations as of 31 December last year, following the decision made jointly by its management and investors, according to Tech in Asia.

The B2B firm, which specialised in providing robo-advisory products to financial institutions, was unable to achieve profitability within the set timeframe, leading to its shutdown.

Ned Phillips

Ned Phillips, the founder and CEO of Bambu, in an interview with Tech in Asia, explained that despite the company having large clients and nearing profitability earlier in the year, they couldn’t sustain the financial targets.

“We couldn’t get there in the timeline,” Phillips stated, highlighting the firm’s struggles amidst a challenging macroeconomic environment and rising interest rates.

Bambu, launched in 2016 by Phillips alongside co-founders Luke Janssen and Aki Ranin, had secured at least US$13.4 million in funding from several notable investors including Franklin Templeton Investments, Wavemaker Partners, and Octava.

The company launched its flagship product, Bambu Go, in November last year—a customisable robo-advisor aimed at mass retail investors.

Despite its operational achievements and strong sales, a source close to the company pointed out that Bambu faced significant challenges in operations and technology, which were only partially mitigated by hiring competent executives later in its journey.

As the liquidation process continues, Phillips noted that Bambu’s technology has been sold to multiple buyers, ensuring that their advancements in the fintech space would persist beyond the company’s operational life.

“We had some great clients. We’ve got some great tech that lives on. We are super proud of what we did,” he reflected. Phillips currently offers consultation for companies in branding and sales initiatives.