Indonesian fintech firm Achiko has officially listed on the SIX Swiss Exchange, Switzerland’s principal stock exchange, the company announced in a statement.
The game payment company’s direct listing comprised 89,632,142 shares at a reference price of USD 0.70 per share. which the share price in its last round of financing.
“Our decision to list on the Swiss stock exchange SIX is a strategic choice, taken with a long-term view. Switzerland is a vibrant and growing hub for Fintech innovation with a strong and supportive regulatory environment,” said Achiko chairman Allen Wu, who added that Achiko will look to open a branch in Switzerland to support strategic partnerships in Europe following the listing.
The listing sees Achiko follow in the footsteps of fellow tech firms Slack and Spotify, which opted for a direct listing instead of a traditional initial public offering (IPO). In a direct listing, companies don’t issue new shares or raise new capital. It typically serves to allow employees and investors to cash out.
Prior to the listing, Swiss Merchant Group had acquired a 7.80 per cent stake in Achiko last week.
Achiko, which is backed by Indonesia’s largest media company MNC Corporation and global accelerator MOX, is a relatively new holding company founded in 2018. However, it oversees established companies including Kryptonite and Mimopay, which is its primary business.
Founded in 2012, Mimopay is a provider of payment services in Indonesia for people who do not have a bank account or credit card. It allows users to pay for digital gaming content and services via a range of payment channels, such as telecom billing, game vouchers, and at over 10,000 convenience stores and over 100,000 ATMs.
In Indonesia, Achiko’s Mimopay operates in a space currently dominated by two giants: Grab-backed OVO and Gojek’s Go-Pay. While many of Mimopay’s services compete directly with OVO and Go-Pay, the company has started to target a segment that has yet to be optimally captured by others, which is the gaming market.
Achiko’s decision to list on a foreign exchange will resonate with other startups planning to go public, who have expressed concerns with the depth and liquidity of the Indonesia market, as well as local investors’ understanding of tech businesses.
Fellow Indonesia-based fintech firm Kredivo has previously said that it will likely list in Hong Kong or the US when the time comes for it to go public, while unicorns Tokopedia and Gojek have said that they will consider a dual listing strategy, including a domestic IPO.