Indonesian decacorn Gojek snags funding from Facebook, PayPal

Photo by Gojek

Southeast Asian ride-hailing decacorn Gojek has secured an unspecified amount of investment from Facebook and PayPal as part of its Series F funding round.

Gojek’s existing backers Google and Tencent have also topped their investments in the company, according to an official statement. The latest capital injection has brought the company’s Series F round to over $3 billion.

The announcement comes three months after Gojek co-CEOs told employees the ride hailer had raised $1.2 billion in fresh funding from undisclosed investors.

The decacorn was earlier reported to be in fundraising negotiations with e-commerce giant Amazon but those talks are understood to have fallen through.

In a statement on Wednesday, Gojek said the new investment will support its mission to boost Southeast Asia’s digital economy, with a focus on supporting payments and financial services in the region.

Gojek’s payments business, GoPay, has grown to become one of the ride-hailing company’s biggest business lines. It has long been focused on increasing access to the digital economy among micro, small and medium enterprises (MSMEs), the majority of which continue to rely on cash to operate, due to the region’s large unbanked population.

Gojek said it will work with Facebook and WhatsApp, both of which are ubiquitous in Indonesia and much of Southeast Asia, to create new opportunities for small businesses. It has already launched a partnership with Instagram that enables food merchants on the social networking platform to deliver food to consumers using Gojek.

The Indonesian firm will integrate PayPal’s payment capabilities into its services, enabling GoPay users to access the US firm’s network of more than 25 million merchants around the world.

“By working together, we have the opportunity to achieve something truly unique as we aim to help more businesses to digitise and ensure that many millions more consumers are enjoying the benefits that the digital economy can bring,” said Gojek co-CEO Andre Soelistyo.

For Facebook, the deal with Gojek marks its first investment in an Indonesia-based business as it seeks to create new opportunities for businesses in the country, including through its popular WhatsApp service.

“Gojek, WhatsApp and Facebook are indispensable services in Indonesia. Working together we can help bring millions of small businesses and the customers they serve into the largest digital economy in Southeast Asia,” said Whatsapp COO Matt Idema.

Gojek made the first close of its ongoing Series F round at $1 billion early last year and disclosed unspecified investments from Mitsubishi Motors Corporation, Mitsubishi Corporation, Mitsubishi UFJ Lease & Finance and payments major Visa in July.

The company recently acquired mobile point-of-sale (mPOS) startup Moka for an estimated $130 million as part of its continued digital payments push. Moka provides POS and payment services to more than 35,000 restaurants, coffee shops and retail outlets in Indonesia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.