Myanmar mobile payments firm MyPay Ltd is acquiring Singapore’s fastacash, a social and mobile payment platform to remit money, Fastacash general manager and chief commercial officer Mark Carter told DEALSTREETASIA.
While he declined to disclose any financial details regarding the deal, he said, the acquisition will be completed in the next 60-90 days.
“MyPAY and fastacash will continue to service existing clients and develop new business associated with mobile and social payments together with mobile financial services,” Carter added in an interaction with DEALSTREETASIA.
Both the companies specialise in using social media to facilitate money transfers. Back in 2015, fastacash had, in fact, invested in MyPay when it forayed into Myanmar to tap the financial services sector in the emerging market.
Myanmar is flush with payments firms such as Singapore-based 2C2P, Thai CP Group’s TrueMoney, MyanPay, Telenor and Yoma Bank’s WaveMoney, Ok Dollar and EasyPay who are jostling for market shares offering similar services.
“The acquisition will ensure that MyPAY is well positioned for significant growth and able to offer a full range of mobile, social payments services in Myanmar but also further afield given fastacash’s existing client network in Asia, India, Middle East and Europe,” Carter said.
Carter has been appointed CEO of MyPAY and will lead the business following the acquisition. The changes in the fastacash management team have been approved by its board and shareholders.
In October 2015, AIM-listed MySQUAR, a Myanmar language social media and entertainment platform, had entered into a service agreement with MyPay Limited which lets the latter integrate its services to MySQUAR’s mobile messaging app MyCHAT.
Schaer, chief executive officer of MySQUAR, holds an indirect interest in MyPAY.
“Through this acquisition, MyPAY’s mobile payments and mobile financial services capability is enhanced by fastacash’s social payments platform, thus providing mobile and social payments capability on a global basis,” Carter added.
By the last quarter of 2016, both companies had started work towards the launch of MyPAY which will allow users to purchase top-ups in the games on top of other digital goods for MySQUAR. This will allow them to “capture a lot of the margin on digital goods,” said Nicolas Nguyen, Myanmar country manager for Rising Dragon, a large investor in MySQUAR.
Rising Dragon and its associated companies have Myanmar investments in the mining, oil and gas sectors, according to their website.
In a previous interview, Schaer had told DEALSTREETASIA, “MySQUAR already has hundreds of thousand Burmese users overseas who will be keen to use the payment services of MyPay to send money into Myanmar, and the numbers will keep growing.”
There are an estimated four million Myanmar nationals living in Thailand and 200,000 in Singapore. Schaer is confident that the company had a strong customer base.