EDUCATION

PayU expands operations, acquires majority stake in Red Dot Payment

&NewLine;<p>PayU&comma; a leading online payment service provider in 18 high growth markets&comma; and fintech business of Naspers-a global consumer internet group- on July 5&comma; announced its acquisition of a majority stake in Red Dot Payment&comma; a Southeast Asia focused online payment solutions provider&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>With this transaction&comma;&nbsp&semi;PayU has expanded into the Southeast Asia region and brings the total amount deployed in fintech investments and M&amp&semi;A to north of &dollar;700 million over the last three years&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>The move demonstrates PayU’s commitment to becoming the leading payments solution provider in high-growth markets and&nbsp&semi;one of the largest fintech investors in the world&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>This was made known&comma; in a press&NewLine;release made available to OpenLife&comma; by Adam Hunter&comma; a South African PR&NewLine;agency for industry leaders&comma; PRWeb&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>According to&NewLine;the release&comma; PayU&comma; formed in 2011 by a group of payment experts from various&NewLine;Fortune 500 companies in the industry&comma; RDP has grown into Singapore’s largest&NewLine;home-grown and trusted online payment solutions fintech company&comma; delivering&NewLine;innovative&comma; secure and customised payment solutions for all enterprise sizes&NewLine;across Asia and beyond&period; <&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>With an&NewLine;ever-expanding presence across Southeast Asia&comma; including offices in Indonesia&NewLine;and Thailand&comma; RDP has been focused on booming verticals such as online retail&comma;&NewLine;hospitality&comma; charity&comma; food delivery and more&period;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Research indicates that Southeast Asia&nbsp&semi;is&nbsp&semi;one of the fastest&NewLine;growing digital payments markets&nbsp&semi;in the world&comma;&nbsp&semi;and&nbsp&semi;is expected&NewLine;to triple in size to&nbsp&semi;US&dollar;240&nbsp&semi;billion&nbsp&semi;in&nbsp&semi;total payments&NewLine;volume&nbsp&semi;by 2025&period;&nbsp&semi;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>The region is&nbsp&semi;already&nbsp&semi;home to 350 million internet users&NewLine;across its six largest countries&comma;&nbsp&semi;exceeding that of the population&nbsp&semi;of&NewLine;the United States&comma; presenting an&nbsp&semi;immense business potential for global&NewLine;merchants&period; With this deal&comma; PayU successfully creates a winning proposition for&NewLine;global merchants&nbsp&semi;by integrating&nbsp&semi;RDP&nbsp&semi;platforms into the PayU Hub&period;&NewLine;PayU can now build a best-in-class cross-border product by offering more&NewLine;local&nbsp&semi;alternate payment methods&nbsp&semi;and&nbsp&semi;connectivity&period;&nbsp&semi;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>In a comment bt Laurent le Moal&comma; CEO of PayU&comma; &OpenCurlyDoubleQuote;This&NewLine;investment is PayU’s first step towards expansion in the SEA region&period; We will&NewLine;now provide our existing global merchants access to Southeast Asia with a&NewLine;single API integration&comma; thus strengthening our global PayU Hub platform&period; Owing&NewLine;to the immense potential that the SEA market presents&comma; PayU sees a vast&NewLine;opportunity in this region to grow and innovate further&period; We will continue to&NewLine;look for prospects to reinforce our footprints in this market&period;”<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>&OpenCurlyDoubleQuote;As part of our business strategy&comma; PayU will&NewLine;collaborate with the promising founders who are driven by an entrepreneurial&NewLine;passion&period; We’re excited to welcome Randy and the team to PayU as we continue to&NewLine;pursue our vision of creating a world without financial borders”&comma; he further&NewLine;added&period;&nbsp&semi;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>Randy Tan&comma; CEO and Founder of Red Dot Payment&comma; added&colon;&nbsp&semi;&&num;8220&semi;We&NewLine;are proud of how far we have come and that PayU&comma; a leading global fintech&NewLine;operator&nbsp&semi;and investor&comma; recognises the strength&comma; depth&comma; and breadth of the&NewLine;company that we have built with unwavering dedication over the past eight years&period;&NewLine;It has never been easy for global merchants to enter Southeast Asia&nbsp&semi;as they benefit from RDP’s strong&NewLine;local&nbsp&semi;connectivity combined with PayU’s global footprints and experience&period;&NewLine;We are pleased that RDP will be part of the Naspers’ fintech&nbsp&semi;portfolio as&NewLine;we look forward to continued extension of our business and market position&NewLine;in&nbsp&semi;Southeast Asia&nbsp&semi;to be the&NewLine;fintech payment solutions champion in&nbsp&semi;this region&period;&&num;8221&semi;&nbsp&semi;<&sol;p>&NewLine;&NewLine;&NewLine;&NewLine;<p>&nbsp&semi;Under&NewLine;the terms of the agreement&comma; PayU has acquired a majority stake in RDP in a&NewLine;transaction valuing the company at US&dollar;65 million&period; The founder will continue to&NewLine;retain a stake in the company&comma; while the majority of other shareholders will&NewLine;exit&period;&nbsp&semi;Evolve Capital Asia acted as the&NewLine;exclusive financial adviser to the Founder and selling shareholders&period;<&sol;p>&NewLine;

Openlife Reporter

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