Vietnam-based marketplace operator Tiki has announced the acquisition of event and cinema ticket portal Ticketbox in a move to become an ‘all-in-one’ e-commerce platform.
This is Tiki’s first-ever acquisition, the private equity-backed e-commerce firm said in a statement.
The deal also marks Tiki’s next step in the entertainment business it has recently ventured into. It has set up a fund to support 100 music videos by local artists in 2019, and Ticketbox will be the platform to help artists and event organizers more easily approach their audience.
Vietnamese consumers have increased their spending on high-quality entertainment content over the past few years, Tiki said, adding that the local event ticketing market will reach $10 million in 2019, while the cinema ticketing segment is also expected to obtain $160 million by the end of this year.
Ticketbox was founded in 2013, then acquired a smaller startup – Muaticket – a year later. The company was backed by Thai media firm Ookbee, 500 Startups and Susquehanna International, according to Crunchbase.
In addition to fast payment and delivery solutions through its online platform, Ticketbox also provides its partners with big data-enabled customer behavior analysis, in order to help them to target their audience.
“Along with the financial investment, Tiki also utilises our existing assets [to support] Ticketbox to not only better serve Vietnamese audience but also promote the national entertainment industry”, said Tran Ngoc Thai Son, founder-cum-chairman of Tiki.
Ticketbox said it will have over 5,000 events onboard by January 2020 and anticipated the number to grow by two to three times every year.
Tiki is currently the second most popular e-commerce site in Vietnam, after Sea Limited’s Shopee. We have reported that the company raised a $100-million upsized funding from existing investors as well as Singapore-based Northstar Group.
While Tiki has not responded to our report, it has recently revealed the shareholding structure in which Vietnamese investors hold 51.33 per cent of the company, followed by Chinese shareholders (21.47 per cent), investors from Singapore (11.08 per cent), Korea (7.71 per cent), Hong Kong (4.69 per cent) and Japan (3.72 per cent).
The firm also confirmed international shareholders such as Singapore’s EDBI, STIC Investments and Korea Investment Partners, in addition to the names it had announced earlier including Cyberagent Ventures, Sumitomo and JD.com.
Vietnamese unicorn VNG Corporation had invested $17 million in Tiki in exchange for a 38 per cent stake in 2016. However, VNG has reduced its shares to 24.4 per cent in June.
Meanwhile, a business registration document said, JD.com, which reportedly pumped $44 million into Tiki, owned 25.6 per cent of the company. Tiki declared earlier this month that the figure was outdated, indicating that the Chinese behemoth has never been its largest shareholder, without revealing how much shares it was holding.