AC Ventures Leads $8.5M Series A+ Round for Food Market Hub to Revolutionize F&B Supply Chains

The food and beverage (F&B) industry is undergoing a massive digital transformation, and at the heart of this shift is Food Market Hub (FMH). The Malaysian-based SaaS startup recently announced a significant milestone, securing $8.5 million (over IDR 121 billion) in a Series A+ funding round led by AC Ventures. This latest injection of capital brings FMH’s estimated valuation to a staggering $40 million, signaling strong investor confidence in its mission to automate the back-end operations of the culinary world.

AC Ventures spearheaded this investment through its specialized Malaysian fund, the Penjana Kapital Fund. The round also saw participation from a diverse group of new and returning investors, including East Ventures, Velocity Ventures, Capital Code, and several strategic angel investors. Previous backers like Go-Ventures, SIG, and 500 Global also rejoined the fray, bringing FMH’s total funding across its Series A and A+ rounds to $12.5 million (more than IDR 179 billion). This influx of capital is a direct result of the company’s explosive growth and the urgent need for digital solutions in the post-pandemic F&B landscape.

Scaling Operations Across Southeast Asia

With fresh capital in the bank, Food Market Hub is setting its sights on aggressive regional expansion. The primary focus for 2022 is a deeper dive into the Indonesian market, while simultaneously strengthening its presence in Singapore, Thailand, and its home base in Malaysia. Anthony See, CEO of Food Market Hub, emphasized that their platform is more than just software—it’s a lifeline for businesses looking to survive and thrive in a volatile economic climate.

According to See, the FMH platform has been instrumental in helping F&B operators drastically reduce food costs. By automating the purchasing process and tracking inventory in real-time, the platform helps businesses minimize waste and manage their margins with surgical precision. This is particularly crucial as supply chain disruptions and rising costs continue to plague the global hospitality sector.

A Centralized Command Center for F&B Businesses

Founded in 2017, Food Market Hub serves as a comprehensive back-end ecosystem. It allows restaurant owners to seamlessly place orders with existing and new suppliers while automatically synchronizing data from Point-of-Sale (POS) systems, inventory records, and accounting software. By consolidating these disparate data points onto a single platform, business owners can make informed procurement decisions backed by real-time analytics.

The platform’s ability to integrate with various third-party software ensures that managers have a 360-degree view of their operations. Since early 2020, FMH has seen its active user base double to 5,000, maintaining an impressive 87% retention rate. Perhaps most strikingly, the total annual order value processed through the platform quadrupled over 12 months, reaching $600 million by October 2021. Major players like KFC, Pizza Hut, Din Tai Fung, and The Coffee Academics are already leveraging FMH to handle roughly 90% of their purchase transactions.

Strategic Partnerships and Future Horizons

Beyond simple procurement, Food Market Hub is expanding its utility by launching payment services in Malaysia. This feature allows businesses to send invoices and collect payments directly within the app, streamlining the financial workflow. AC Ventures’ Partner, Ng Yi Chung, noted that FMH’s track record in markets like Hong Kong, Taiwan, and Singapore proves its potential to lead the F&B digital transformation across ASEAN.

The company’s momentum is further bolstered by strategic collaborations. FMH was a winner of the HLB Launchpad 2020 and has partnered with the Malaysia Digital Economy Corporation (MDEC) and Saladplate to encourage digital adoption among local businesses. Furthermore, their alliance with Velocity Ventures aims to accelerate entry into new markets. Looking ahead, FMH isn’t stopping at its current borders; plans are already in motion to enter Vietnam and launch financing tools to support the regional recovery of the F&B industry.

In Indonesia, FMH joins a competitive landscape where AC Ventures also holds a stake in Esensi Solusi Buana (ESB), another major player in the culinary operational space. The demand is certainly there; a 2021 report on MSME empowerment revealed that 83% of Indonesian small business owners are turning to digital startups to solve operational inefficiencies. By bridging the gap between front-end service and back-end supply chains, Food Market Hub is positioned to become an indispensable pillar of the Southeast Asian digital economy.