Indonesian ride hailing app Go-Jek has agreed to buy three local fintech firms for an undisclosed sum to bolstering its digital payment service.
The company acquired Kartuku, an offline payments processor, Midtrans, an online payment gateway, and Mapan, a community group- based saving and lending network.
Together, the three firms process around $5bn of debit card, credit card and digital wallet transactions.
Kartuku currently caters to almost all top 100 enterprise retailers in Indonesia, operates 150,000 point-of-sales payment devices and has tie-up with nine acquiring banks. The company will now work with GO-Jek services including GO-FOOD and GO-MART.
Midtrans works with over 3,000 online merchants, while Mapan has one million families as members across the country’s 100 cities.
As part of the deal, Mapan CEO Aldi Haryopratomo will become head of GO-PAY, Midtrans founder Ryu Suliawan will lead the group’s merchant platform, and Kartuku CEO Thomas Husted will become the group’s CFO.
GO-JEK Group founder and CEO Nadiem Makarim said: “We are very excited to welcome Kartuku, Midtrans, and Mapan into the GO-JEK family. We have collaborated with them and followed their progress for a number of years and are looking forward to working together on a shared mission to stimulate economic growth and improve lives through increased financial inclusion in Indonesia.
“This is in line with the Indonesian government’s aspiration for the country to become the largest digital economy in Southeast Asia by 2020.”
GO-JEK Group president Andre Soelistyo added: “The acquisitions will immediately accelerate the acceptance and market leadership of GO-PAY in the offline space through Kartuku as well as the online space through Midtrans, while also increasing financial inclusion for the unbanked through Mapan.”