Indonesia Welcomes its 5th Unicorn

Digital payment service firm OVO has become the fifth Indonesian unicorn, as the company is now valued at more than US$1 billion , according to Indonesian Communications and Information Minister Rudiantara. This would bring Indonesia’s unicorn count to five, with ecommerce company Bukalapak being the last to join the club. While Thompson didn’t elaborate on the company’s exact valuation, CB Insights reported it to be US$2.9 billion.

Ovo started out as a loyalty app for shopping malls owned by the Indonesian conglomerate Lippo Group before attaining major growth as an e-wallet. According to Bank Indonesia data, Ovo is currently Indonesia’s top digital payment system based on transaction values. The company processed 56.1 trillion rupiah (about US$4 billion) worth of transactions for the first half of 2019.

Thompson has credited partnerships with giants Grab and Tokopedia as an inflection point in Ovo’s growth. The company has also expanded into financial services as part of its larger vision of developing financial inclusion in the country. 

Source: The Straits Times | Tech in Asia