Southeast Asian ride-hailing giant GoTo Group completes US$1.3 billion pre-IPO financing
In May of this year, Indonesian Internet start-ups Gojek and Tokopedia merged to form the company GoTo, whose business scope covers online car-hailing, financial services and e-commerce.
GoTo Group said that it is expected that more investors will join the pre-IPO financing in the next few weeks. The company said that the new funds will be used to expand the customer base and expand the range of payment and financial services products.
Last month, GoTo Group stated that it has reached an agreement with the Abu Dhabi Investment Authority, the sovereign wealth fund will lead this round of pre-IPO financing with an investment of US$400 million.
It was previously reported that GoTo Group may be seeking an open market valuation target of between 35 billion and 40 billion U.S. dollars. In August of this year, Reuters reported that regulatory issues may push the technology company’s listing plan until early 2022.
GoTo Group did not disclose the specific details of its IPO plan in its announcement on Thursday.
Andre Soelistyo, CEO of GoTo Group, said in a statement: “Indonesia and Southeast Asia are one of the most exciting growth markets in the world. I am very confident about its market leadership.”
The new crown epidemic has accelerated the global demand for online services. According to a report released this week by Google, Temasek and Bain & Company, Indonesia’s Internet economy is expected to grow by 75%, from US$40 billion in 2019 to about US$70 billion this year.
Technology companies such as GoTo Group have found new growth points in areas such as e-commerce, food and grocery delivery, and logistics.