TechCoop Secures Over $5 Million in Funding: A Boost for Vietnam’s Agritech Sector
On March 21, agritech startup TechCoop Pte. Ltd. announced a significant financial milestone, securing over $5 million in equity and debt funding. The investment round was anchored by local venture capital firm Ascend Vietnam Ventures (AVV) and Singapore’s TNB Aura, with participation from Ethos Ventures, South Korean impact investor MYSC, and Mandala Capital. This funding is poised to catalyze TechCoop’s expansion plans and tech development in Vietnam’s agricultural sector.
Strategic Use of Funding
The proceeds from this funding round will be strategically directed toward enhancing technology and expanding operations across 30 cities and provinces in Vietnam. Eight operational hubs in key regions like Ho Chi Minh City, An Giang, Ben Tre, Binh Thuan, Binh Phuoc, DakLak, Gia Lai, and Lam Dong will serve as centers for this expansion. This growth plan is indicative of TechCoop’s ambition to create a broader impact in Vietnamese agriculture by providing smallholder farmers with access to vital resources and services.
Empowering Farmers
TechCoop aims to transform the agricultural landscape through integrated trade, financial services, and advisory solutions tailored for small- and medium-sized enterprises (SMEs) and farmer clubs engaged in export-driven supply chains. The startup has developed models for providing agricultural inputs such as fertilizers, crop protection, seedlings, and mechanical services, with flexible payment terms ranging from 3 to 6 months. For outputs—nuts, fruits, and vegetables—customers can expect payment terms that span 30 to 60 days, allowing for smoother cash flow.
Digital Services for Sustainable Farming
In addition to trade and financing, TechCoop is enhancing its services with digital tools. The company offers platforms like AgriFarm for traceability and management tools such as AgriSME and AgriERP. These platforms equip small farmers and farmer clubs better prepare for international exports, thus opening new markets for their products. With partnerships established with over 2,000 agri-SMEs and reaching more than 150,000 farmers, TechCoop is positioned as a pivotal player in Vietnam’s agricultural ecosystem.
Financial Performance and Vision
TechCoop has already shown robust performance, delivering $10 million in sales and achieving profitability last year. This financial health reflects the growing demand for its services and the critical role it plays in the industry. Hao Diep, the co-founder and CEO of TechCoop, articulated the significance of this funding, stating, “This funding is a tremendous vote of confidence in our mission and vision. We are excited to partner with our investors as we strive to make a lasting impact on the lives of farmers across the country.”
Investor Confidence
The investment round highlights the confidence that venture capital firms have in TechCoop’s mission to empower Vietnamese farmers. Hau Ly, a partner at AVV, noted, “The sector is ripe for innovation and growth. We believe in the team’s dedication and deep operational experience in agriculture, fintech, and banking.” This faith in TechCoop’s capabilities suggests a broader optimism for agritech initiatives in Vietnam, particularly in light of the increasing need for sustainable agricultural practices.
By emphasizing technology, financial inclusion, and operational support, TechCoop is setting a precedent in the agritech field, demonstrating how innovative solutions can support farmers and strengthen Vietnam’s agricultural sector.