TikTok acquires 75% of Gojek parent's e-commerce unit
Gojek, a ride-sharing platform by GoTo, is a major investor of Pathao. Gojek holds an 18.67% stake in Pathao.
TikTok, the popular short-video-sharing platform owned by ByteDance, has agreed to invest USD 1.5 billion for 75.01% of the controlling stake in Tokopedia, the e-commerce unit owned by the Indonesian tech conglomerate GoTo Group. GoTo will retain the other 24.99% stake.
This move comes after Indonesia's ban on social media-based online shopping, leading to the closure of TikTok's e-commerce service, TikTok Shop back in September. Through this agreement, TikTok Shop's Indonesian business will be integrated into the expanded Tokopedia. The deal may also aim to capitalize on Indonesia's social media landscape.
TikTok Shop, currently available in select countries, including the United States, Britain, and Singapore, is set to expand its footprint through this collaboration. This alliance between TikTok and Tokopedia positions them as major players in the Indonesian e-commerce landscape, competing with platforms like Shopee, owned by Singapore's Sea, and Lazada, a subsidiary of Chinese e-commerce giant Alibaba.
Gojek, a ride-sharing platform by GoTo, is a major investor of Pathao. Gojek holds an 18.67% stake in Pathao through subsidiary Ojek Motor Bangladesh. In 2018, they provided $13 million in loans to Pathao, which was topped up in 2019.