News on December 11, according to foreign media reports,TikTok has become the new controlling shareholder of e-commerce entity PT Goto Gojek PT Tokopedia. It is reported that TikTok acquired Tokopedia 7501% of the shares, the Goto Group retains 24Ownership of 99% of the shares.
Source: TikTok
As part of the strategic partnership, the Tokopedia and TikTok Shop Indonesia businesses will be merged under the umbrella of PT Tokopedia, where TikTok will have control of PT Tokopedia. The shopping service feature in the Indonesia TikTok app will be operated and managed by PT Tokopedia.
Previously, multiple DealStreetAsia sources said that TikTok had the potential to acquire a 10% stake in Tokopedia. It was then gradually increased to a 50% majority.
"TikTok will invest more than $1.5 billion as a long-term commitment to support Tokopedia's operations without further diluting Goto's ownership in Tokopedia," GoTo's management wrote in a press release on Monday, December 11The transaction is expected to close in the first quarter of 2024.
The agreement is in line with Goto Group's steps to strengthen its financial position and the company's strategy to expand its market coverage (total target market).
In order to ensure that PT Tokopedia is in line with Indonesia's sustainability policy of steps to encourage the development of the country's digital economy, a committee will be set up to facilitate the transition and integration, chaired by Patrick Walujo and supported by representatives of PT Tokopedia and TikTok. Goldman Sachs acted as financial advisor to Goto Group in connection with the transaction.
At the same time, TikTok Shop announced that it will launch its first big promotion in Indonesia on December 12.