Malaysia's TNG Digital bags $168m funding round led by Lazada Group

Photo: Unsplash

Touch ‘n Go Group has announced that TNG Digital Sdn Bhd has raised RM 750 million ($168.3 million) from its latest round of equity funding led by e-commerce giant Lazada Group, according to a statement.

TNG Digital is the owner and operator of Touch ‘n Go eWallet, Malaysia’s largest eWallet company.

The funding round also saw a follow-on investment by TNG Digital’s current shareholder and parent company, Touch ‘n Go Sdn Bhd.

The new investment solidifies the collaboration between key segment leaders, one in e-commerce and one in digital financial services and payments.

The proceeds will be used to expand in all areas of digital financial services and ensure that the user base is served in an innovative and inclusive manner.

In the meantime, Lazada Malaysia Chief Executive Officer Alan Chan said, “We see digital payment services as a critical bolt-on to bring the best customer experience on Lazada. Lazada is fully committed to providing a seamless customer journey, as well as being a catalyst to stimulate capacity building among our sellers, primarily local SMEs and MSMEs. Our long-standing partnership with Touch ‘n Go eWallet has served our customers well, allowing buyers to check out easily and quickly. Today’s announcement fortifies that partnership and we are excited by the prospects it presents for both our companies.”

This round of funding brings the total amount raised by TNG Digital over the last 18 months to over RM 1 billion.

In 2017, TNG Digital was jointly founded by Touch ‘n Go and China’s Ant Group. Other shareholders of TNG Digital include insurers AIA Group and US-based venture fund BowWave Capital.

TNG Digital secured approval from the Malaysian securities regulator to directly distribute capital market products, including money market unit trust funds. It partners with Principal Asset Management, one of the country’s biggest fund managers.

 

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