Facebook and PayPal invest in Southeast Asian ride-hailing giant GoJek
Facebook and PayPal have made investments in GoJek, joining Google and Tencent among other high-profile technology companies that have backed the five-year-old Southeast Asian ride-hailing firm that has expanded to food delivery and mobile payments in recent years.
Facebook, for which it is the first investment in an Indonesia-based firm, and PayPal did not disclose the size of their checks. GoJek told TechCrunch that Facebook and PayPal were participating in its ongoing financing round, which brings it total raise-to-date to over $3 billion.
For Facebook, which in April invested in India’s top telecom operator Reliance Jio Platforms, backing GoJek unlocks a similar opportunity: Helping millions of small businesses.
Matt Idema, chief operating officer at WhatsApp, said the company will work with “indispensable” service GoJek to “bring millions of small businesses and the customers they serve into the largest digital economy in Southeast Asia.”
“The majority of small businesses in Indonesia rely on cash to operate due to the country’s large unbanked population. Digital payments are safer than cash, both for businesses and customers. And digital payments help more people participate in the economy and give businesses access to credit which is crucial for business growth,” he wrote in a blog post.
PayPal said the commercial partnership will enable the global payments giant to “significantly grow” its scope and scale in Southeast Asia. “This new relationship is another positive step in our journey towards becoming the worldwide payments partner of choice, and helping to fuel global commerce by connecting the world’s leading marketplaces and payment networks,” a spokesperson said.
GoJek, which disclosed it had raised $1.2 billion in March to employees and is valued at about $10 billion, said it has amassed over 170 million users in Southeast Asia. In March, the company, which competes with Singapore-headquartered Grab, said it had raised nearly $3 billion over the years.
More to follow…
Facebook and PayPal have made investments in GoJek, joining Google and Tencent among other high-profile technology companies that have backed the five-year-old Southeast Asian ride-hailing firm that has expanded to food delivery and mobile payments in recent years. Facebook, for which it is the first investment in an Indonesia-based firm,…
