Tag: Mynt

Manila, Philippines – Mitsubishi Corporation (MC) has announced that alongside Ayala Corporation (AC), and AC Ventures Holding Corp (ACV), they have reached an agreement on MC’s investment in ACV subject to the execution of definitive transaction documents and the satisfaction of customary closing conditions. 

AC is a major conglomerate in the Philippines and ACV currently holds an about 13% stake in Mynt, the parent company of GCash. Under the terms of the agreement, MC shall acquire a 50% stake in ACV and pursue future investment opportunities.

In addition, MC and AC are going to sign a memorandum of understanding (MoU) on a comprehensive collaboration in the Philippines. The MoU covers additional business developments aimed at stimulating the country’s economic growth.

MC aims to create a prosperous society and a “Smart-Life” ecosystem in the form of improved lifestyle for consumers by launching multiple attractive businesses that address social issues and consumer needs in each region and country, and organically connecting them. These ecosystem addresses both challenges faced by social issues and consumer needs, and sustainable growth of our business portfolio.

Data notes that around 80% of the country’s citizens have tried using the GCash mobile wallet, which is Mynt’s core business. With a vision to accelerate financial inclusion in the Philippines, the product has by far the largest mobile-wallet customer base in the Philippines and has grown into an indispensable service infrastructure, relied on by millions for daily payments, transfers and other financial transactions. 

In addition to its digital payments and transfers, Mynt, through its other subsidiaries, also provides access to loan services using non-traditional ways to assign customer credit scores to enable access to fair lending. It has also expanded its financial services offerings to provide users access to savings, insurance, and investment products. 

Furthermore, it has built the largest network of online and offline merchants including social sellers with over 6 million partners while hosting over 1,000 merchant partners in its app, via GLife.

With this recent partnership, both MC and AC are committed to boosting Mynt’s corporate value and leveraging other joint initiatives to create new businesses in the Philippines and contribute to its economic development. Those efforts will include continuous business development and cross-sales in C2B area like retail and healthcare, and multifaceted collaborations in mobility, renewable energy, carbon management and elsewhere.

Lastly, with the Mitsubishi UFJ Financial Group (MUFG) having also announced its investment in Mynt this past August, MC and AC shall work with MUFG as fellow shareholders to aid the company’s future growth and development.

Philippines – Globe Fintech Innovations, Inc. (Mynt), the parent company of GCash, has announced new strategic investments from Ayala Corporation and Mitsubishi UFJ Financial Group (MUFG), elevating its valuation to $5 billion—more than double the $2 billion valuation from 2021.

In a disclosure released Thursday, Ayala Corporation, via its subsidiary AC Ventures Holdings, Inc., will acquire an additional 8% stake in Mynt for approximately ₱22.9 billion, valuing Mynt at ₱286.4 billion. This boosts Ayala’s ownership of Mynt to around 13%. 

According to Ayala, its increased investment in Mynt aligns with its strategy to reallocate capital to high-performing ventures. Boosting its stake in Mynt enables Ayala to capitalise on GCash’s robust long-term growth potential.

Concurrently, Mitsubishi UFJ Financial Group (MUFG), via its consolidated subsidiary MUFG Bank, Ltd., will also acquire an 8% stake following the signing of binding investment agreements.

Martha Sazon, president and CEO of Mynt, said, “We are thrilled to welcome MUFG as a new strategic partner. With their global expertise and reach within the financial inclusion space, they will be instrumental in further expanding GCash’s social impact, especially for the underserved. Alongside this, Ayala’s unmatched commitment to Philippine economic growth and development and its expertise in multiple industries will accelerate GCash’s mission.” 

Meanwhile, Yasushi Itagaki, senior managing corporate executive and head of the global commercial banking business group at MUFG, said, “GCash is an indispensable infrastructure for the everyday lives of Filipinos, and we are delighted to join Mynt as a strategic investor to support the growth of the company. With our investment, we are excited to expand our contribution to the ongoing development of the Philippines’ digital economy and financial inclusion.”

Cezar Consing, president and CEO of Ayala Corporation, also commented, “We like the long-term growth prospects of Mynt. It is a clear leader in a fast-growing space and a key contributor to the Philippines’ economic growth. Mynt is valuable because it enables underserved Filipino consumer and business segments to thrive.” 

With Morgan Stanley serving as Mynt’s exclusive financial advisor, the proposed investment is contingent upon the execution of definitive transaction documents and the fulfilment of customary closing conditions. Upon completion, MUFG will become a shareholder in Mynt, while Ayala will increase its existing stake.

Mynt has experienced unprecedented growth in its user base and transactions over the past four years, driven by innovations and a focus on customer experience. This new investment will enhance financial inclusion and spur economic growth in the Philippines. In 2023, Mynt recorded a net income of PHP 6.7 billion.

Manila, Philippines – Mynt, the fintech arm of Globe, has announced that it is fully acquiring payment system provider ECPay. Through the acquisition, Globe Telecom is now selling its previously-acquired 77% stake in ECPay to Mynt. ECPay’s minority stakeholder, Payment One, is likewise a party to the agreement.

Upon closing of the transaction, ECPay will have access to GCash’s platform, enabling ECPay to better traverse the ever-evolving digital landscape to which GCash is a leader in. As for Mynt, it is expected to better harmonise the capabilities of both ECPay and GCash. The acquisition will help GCash provide best-in-class services in the fintech space and further democratize financial access.

Ernest L. Cu, president and CEO at Globe, shared, “GCash’s meteoric rise to become one of the top fintech brands and the aggressive expansion of its financial services have created a perfect environment for strategic synergies with ECPay. Mynt’s acquisition of ECPay will enable more efficient and effective sharing of each other’s strengths and resources, thus creating a seamless and upgraded experience for their customers.”

Meanwhile, Rizza Maniego-Eala, chief financial officer at Globe, commented, “Mynt’s digital savviness will spill over to ECPay, maximising its previously untapped potential. GCash, on the other hand, can further differentiate itself from its competition as mobile wallets in various shapes and sizes continue to pop up. With ECPay in Mynt’s capable hands, Globe can better steer its ventures and synergistically grow the entire Globe Group ecosystem.”

ECPay is a leading electronic payment service provider in the Philippines and was previously acquired by Globe in 2019 to enhance its distribution network. The ECPay Platform enables merchant partners to process bill payments, electronic prepaid mobile phone top-up loading, electronic pins, e-wallet and cash card reloading, airline ticket payments, online shopping payments, and credit card payments in their various outlets.

Manila, Philippines – Mynt, the fintech company under telecommunications company Globe, has recently raised US$300m in funding, therefore valuing the company now at US$2b. Said funding has been led by investors Warburg Pincus, Insight Partners and Bow Wave.

Mynt has been at the forefront of the digital transformation among Filipinos as the ‘go-to’ payment and financial services solution to over 48 million users, nearly half of the national population. 

With the continued relevance of the app among its users, Mynt is on track to reach ₱3t of gross transaction value, 3 times more than last year’s record number. The company has also recorded peak daily app log-ins and daily active transactions of 19 million and 12 million, respectively.

For Martha Sazon, president and CEO of Mynt, this is further proof that their growth and achievements have not gone unnoticed. 

“We have been able to continuously expand by introducing game-changing innovations while improving our profitability profile. We are excited about our new partnership with Warburg, Insight, Itai Tsiddon and Amplo, as they each bring strategic value to our team in the pursuit of our vision towards finance for all,” Sazon stated.

Meanwhile, Ernest Cu, chairman of the board of Mynt and president and CEO of Globe, commented, “Their investment in Mynt and GCash further validates the strides the company has made in providing access to innovative financial services to more Filipinos and highlighting the Philippines to the global investor audience. Together with the continued support of Mynt’s existing shareholders, we are confident of furthering Mynt’s market leadership and creating positive and transformative disruption in the Philippine financial services sector.”

Mynt offers a full array of financial services, spanning credit, savings, insurance, loans, and investments. Assets Under Management (AUM) for its GSave product has grown to over ₱9b, from ₱5b in 2020, while its GInvest product has already captured 70% of the domestic market of total UITF accounts. GInsure, GCash‘s microinsurance offering launched in 2020, accounts for 1/3 of all new insurance policies issued in the Philippines.

In addition, GCash’s GCredit disburses over ₱1b worth of loans each month, with ₱15b worth having been disbursed as of June 2021, and boasts the best repayment rates locally with the lowest past-due and non-performing loans. Mynt also piloted GLoan, a cash loan product that allows qualified users to borrow as much as ₱25k, with repayment spread over 12 months.