Singaporean-founded and San Franciso-based gaming hardware company Razer has acquired a minority stake in Malaysia’s e-payments platform MOL Global and appointed the latter as a master distributor of its virtual currency, zGold, in the Asia-Pacific.
As part of this strategic tie-up, Razer has, through its wholly-owned subsidiary, ZV-Midas Pte. Ltd., purchased a minority 19.9 per cent interest in MOL Global, Inc. (MOLG) from its shareholders, Hotel Resort Enterprise Sdn Bhd (HRSB) and MOL Investment Pte. Ltd. (MOLI).
Under the terms of the purchase, HRSB disposed of 10,565,865 shares representing 15.65 per cent equity interest in the issued and paid-up share capital of MOLG and MOLI disposed of 2,867,517 shares representing 4.25 per cent equity interest in the issued and paid-up share capital of MOL at an implied valuation of $100 million for MOLG. This strategic investment is expected to help propel the partnership to greater heights by enabling both parties to work towards the goal of establishing zGold globally as the de facto virtual currency for
Preecha Praipattarakul, group chief executive officer, MOL Global, Inc. said: “We are excited to partner with Razer to exponentially expand our reach to millions of gamers globally. With MOL and Razer’s leadership in virtual currency and gaming markets, everyone will have better access to great content.”
This strategic investment is expected to help propel the partnership to greater heights by enabling both parties to work towards the goal of establishing zGold globally as the de facto virtual currency for gamers.
The strategic partnership also involved a technology element that will see both companies share technology to boost innovation in the fintech sector, with the aim of helping businesses commercialise digital content with virtual currencies as secure payment methods.
“This partnership holds true to our commitment to give value back to our gamers by offering a universe of digital content, secure and convenient payments and a unique gamer rewards program,” said Min-Liang Tan, Razer CEO and co-founder. “Together with MOL, we are one step closer to our ultimate vision of a unified virtual currency for
“Together with MOL, we are one step closer to our ultimate vision of a unified virtual currency for gamers,” he adds.
MOL has been appointed as a master distributor of Razer’s virtual currency, zGold. With the Southeast Asia gaming market set to grow to US$2.2 billion in revenue this year according to a 2015 report, by the Casual Gaming Association. This partnership will position Razer and MOL to take a lead in gaming transactions in Southeast Asia and other emerging markets.
The partnership will accelerate the global growth of MOL and Razer’s digital payment and content platforms – to be made available to gamers with over 1 million points of purchase in 17 countries, which include Singapore, Malaysia, Australia and New Zealand,
This transaction marks Razer’s first investment in and strategic partnership with an e-payments company. The deal will see MOLPoints (MOL’s virtual currency) rebranded as zGold-MOLPoints and see them sold at over one million online and retail stores in 17 countries. zGold-MOLPoints can be used to purchase online game credits and digital content.
Razer zGold virtual currency will soon be accepted as payment for over 2500 content titles from the MOL network. Games from distribution platforms such as PlayStation Store SEA, Facebook Gameroom, and publishers such as Nexon, Wargaming and more will become available for zGold users in selected countries.