Singapore-based fintech firm MatchMove on Monday announced that it has acquired e-commerce enabler Shopmatic in a $200-million deal.
The deal, which is said to be a share swap transaction, values Shopmatic at $200 million.
In 2020, MatchMove had entered into an agreement to acquire a strategic stake in Shopmatic for an undisclosed sum.
The acquisition aims to create an end-to-end embedded finance and e-commerce platform.
MatchMove offers embedded financial services such as banking-in-an-app for corporate clients who can then provide comprehensive offerings to their small and medium enterprise (SMEs) customers.
Shopmatic, which is also based in the city-state, helps users to sell online by creating a simple-looking website equipped with a chat function that is integrated with social media and major marketplace sites.
The combined entity, which will operate under the MatchMove Group, will enable MatchMove to provide its banking-as-a-service capabilities to Shopmatic’s ecosystem of over a million e-commerce SME customers. The firm targets revenue of $400 million and four million customers across 15 countries by 2026.
Shopmatic CEO Anurag Avula will continue to lead the Shopmatic business while Matchmove CEO Shailesh Naik will helm the Singapore-headquartered group. The group plans to add more complementary acquisitions to its SaaS infrastructure solutions.
“Demand for embedded finance and e-commerce is growing extremely fast,” said MatchMove CEO Shailesh Naik. “Enterprise customers can now completely digitalise their supply chains – providing services like supply chain lending and vendor payments through a single platform to Shopmatic’s ecosystem of SME customers.”
Founded in 2009, MatchMove has raised a total of over $183 million in funding over 12 rounds. Its latest funding was $100 million in a Series D round led by Nityo Infotech Services last June. Japanese investor Credit Saison had also invested in the fintech firm in 2014 and 2016 but has fully exited its investment and sold its stake to MatchMove CEO in July 2021. MatchMove currently has a presence in Singapore, India, Indonesia, Hong Kong, Malaysia, the Philippines, and Vietnam.
Founded in 2014, Shopmatic has raised a total of $8.2 million in four funding rounds. Apart from Matchmove Pay, which made an undisclosed investment in the firm in 2020, Shopmatic is also backed by Group SNS, Accelerasia Ventures, Spring Seeds Capital, and August One. In 2019, Shopmatic acquired CombineSell, a SaaS platform that automates e-commerce selling processes. Shopmatic also acquired Octopus Retail Management the same year.
