JAKARTA (TheInsiderStories) – Malaysia’ Grab Holdings Inc., raised fresh funds around US$850 million from Japanese investors, Mitsubishi UFJ Financial Group Inc. (NYSE: MUFG), TIS Inc., and others, in order to boost financial inclusion in the region, it said today (02/12). The MUFG’ part worth of US$706 million and TIS will invest $150 million in the tech company.
Ming Maa, President of Grab said, “Together with MUFG, we look forward to playing a key role in driving financial inclusion in Southeast Asia and offering greater and affordable access to financial products and services to millions of customers across the region.”
While, Hironori Kamezawa, deputy president, group COO & group CDTO, MUFG, believed that this alliance will also generate additional momentum for the company ongoing digital transformation. He said, MUFG’ investment will come from MUFG Bank, MUFG Innovation Partners Co., Ltd., and Krungsri Finnovate Co., Ltd.
As part of the agreement between Grab and TIS, both of the companies will collaborate on enhancing the digital payment infrastructure in the region and in Japan to enable greater adoption of cashless payment options, such as GrabPay.
Both companies will also collaborate on developing emerging payment technologies. Currently, Grab Financial Group applied for a digibank license in Singapore and launched GrabInvest, its wealth management solution.
Over the past seven years, Grab has grown from a ride-hailing app to a super app offering multiple services such as food and package delivery, digital payments and hotel bookings, amongst many others. Today, its app has been downloaded onto over 185 million mobile devices, giving users access to over nine million drivers, merchants and agents.
The tech company launched Grab Financial Group in 2018 and it has since become the most popular financial technology platform in the region offering payments and remittance services, micro lending and insurance services to users, driver-partners and merchant-partners across the major six Southeast Asian economies.
Grab offers the widest range of on-demand transport services in the region, in addition to food and package delivery services, digital payments and financial services across 339 cities in eight countries.
In Asia, MUFG has acquired strategic equity stakes in leading Southeast Asian banks. The company has equity stakes in Vietnam Joint Stock Commercial Bank for Industry and Trade, Bank of Ayudhya Public Company Limited in Thailand, Security Bank Corporation in the Philippines and PT Bank Danamon Indonesia, Tbk (IDX: BDMN) in Indonesia.
Headquartered in Tokyo, MUFG has a global network with over 2,700 locations in more than 50 countries. The Group offers services including commercial banking, trust banking, securities, credit cards, consumer finance, asset management, and leasing.
While, MUFG Innovation Partners is a consolidated subsidiary of MUFG, and was established as a corporate venture capital fund responsible for both MUFG’ open innovation strategy to accelerate partnerships between startups and the company.
And, Krungsri Finnovate is a corporate venture capital arm of Krungsri that aims to be a fully strategic investor supporting financial technology as well as other banking-related tech startups in Thailand and other countries in Southeast Asia to grow toward their set goals through three core activities.
by Linda Silaen, Email: firstname.lastname@example.org