Singapore-headquartered ride-hailing startup Grab has secured a S$500 million ($370 million) five-year, asset-backed syndicated facility deal, according to HSBC Singapore, who structured the deal.

The deal was 2.5 times oversubscribed, with a total of 16 participants, including banks, said HSBC.

With a potential upsize of S$800 million ($592 million), the debt facility is part of the $700 million in debt financing announced by Grab last October, the largest ever raised by a Southeast Asian startup, to fund the startup’s vehicle fleet.

The startup aims to be the largest car rental platform in the region by end of this year.

“Grab is currently in 217 cities across Southeast Asia, and as we expand beyond ride-hailing to become the leading O2O (online-to-offline) mobile platform in the region, it is crucial that we have the financing necessary to facilitate our rapid growth,” said Grab president, Ming Maa.

Commenting on the deal, HSBC Singapore director of structured finance Shaun Sakhrani said: “The overwhelming response from a wide range of banks and financial institutions demonstrates the strong appetite for facilities of this nature as well as the market’s belief in Grab as Southeast Asia’s leading on-demand transportation platform.”

This debt financing closely follows a $1 billion funding round closed last week from Japanese carmaker Toyota Motor Corp. Grab was reported that it would have achieved a $10 billion valuation with this round of funding.

A Grab spokesperson had said the ride-hailing major is on track to hit $1 billion revenue this year, based on its current revenue run rate.

Its rival Jakarta-based Go-Jek was also reported to be offered at least $1 billion by current investors such as Tencent Holdings, and Warburg Pincus to accelerate its overseas expansion, the first outside its home market.

Last month, Go-Jek had said it will invest $500 million to expand its services to Vietnam, Thailand, Singapore and the Philippines.

Also read:

Grab bags $1b from lead investor Toyota in latest funding round

Vietnam: ComfortDelgro Savico Taxi, Vinataxi merge to take on Grab

Go-Jek backers offer $1b in new funding for overseas expansion

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