Tokopedia and Gojek, two of Indonesia’s most valuable tech firms, have reportedly signed a “conditional sales and purchase agreement”, paving the way for the two companies to merge into a $40bn powerhouse.
The deal would combine Tokopedia’s ecommerce business with Gojek’s ride-hailing and payments operations, creating a so-called super-app in the process.
Such all-in-one apps offer multiple services in one place, from hailing a taxi to ordering takeaway and sending messages.
If the deal goes through it would create another super-app in South East Asia. Chinese app WeChat is the largest of its kind in the world, offering more than a million services to over a billion users. Ant Group’s Alipay is the number two super-app, also based in China and boasting more than a billion users.
With Gojek valued at $10.5bn and Tokopedia valued at $7.5bn, the deal would be the largest M&A in Indonesia’s tech sector. Last month Bloomberg reported the target valuation of the merged company is between $35bn and $40bn, which would make it the third-largest company by market value on the Indonesia Stock Exchange.
According to market intelligence site D-Insights, which first reported that the two companies have signed an agreement, the terms would see Gojek shareholders take a 60% stake in the merged company and Tokopedia owning the remaining 40%.
However, Nuraini Razak, Tokopedia’s vice president of corporate communications, has dismissed reports that the two companies have reached an agreement.