US-based Weyland Tech to spin off Indonesia-focused e-wallet business AtozPay

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US-based Weyland Tech Inc, a provider of mobile business applications, has proposed to spin off its e-wallet business – which launched as AtozPay mobile payments platform in Indonesia in May – into a separate entity and is exploring an initial public offering for the same.

It has given a mandate to Pricewaterhouse Coopers to advise it on the spinoff and IPO structure as well as ongoing audit functions for the e-wallet business, according to a company statement.

Weyland Tech launched AtozPay in Indonesia, the world fourth most populous country. The US firm says the payments platform is already seeing rapid growth in transactions. It has established relationships with several large companies in Indonesia, including Go-Jek, to provide payments for their product and service lines.

On the launch of AtozPay in Indonesia in May this year, Weyland Tech CEO Brent Suen had said, “Indonesia’s economy is much bigger than most people realize. The population has high smartphone penetration, but because the largest global players in mobile payments like GooglePay, ApplePay, Alipay and Samsung Pay do not operate there, the market is highly fragmented. In reality, a country like Indonesia is a great place for a company like Weyland to start. Indonesia provides a large growing market upon which Weyland can capitalize.”

The e-wallet operated in a ‘closed Beta’ environment from December 2017 to April 2018 before its official launch in May.

Weyland has forecast that the platform will achieve gross transaction volume of $30 million in 2018 and $80 million for 2019.

As part of the spinoff exercise, a US corporate entity has been formed that will temporarily serve as the holding company for Weyland Tech’s ownership of the e-wallet business. Each of Weyland Tech’s shareholders will receive a pro-rata allocation of the spin-out shares.

Weyland Tech’s core offering, the CreateApp platform, is focused on the Asia markets. The platform enables small and medium sized businesses to create native mobile applications for Apple’s iOS and Google Android without technical knowledge or background. CreateApp offers a mobile presence to businesses in emerging markets, the release noted.

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