The Indonesian ride-hailing and payments firm Gojek and e-commerce leader Tokopedia have announced merger that will create a technology powerhouse.
Sources familiar with the situation had earlier said the companies were seeking a $18 billion merger. Neither firm confirmed a valuation for the merged group, named GoTo.
The announcement and confirmed deal arrives as both Gojek and Tokopedia seek to boost profitability some ten years after they were founded by offering a bouquet of services under a single platform, extending a regional trend. Alibaba Group Holding and SoftBank Group Corp are among Tokopedia’s investors, while Gojek’s include Warburg Pincus and Tencent Holdings.
Andre Soelistyo from Gojek will serve as GoTo Group’s CEO and lead its payments and financial services under a new brand called GoTo Financial. Patrick Cao from Tokopedia will serve as President of the new entity.
