JAKARTA: Indonesia’s ride-hailing and payments giant Gojek agreed to combine with e-commerce pioneer PT Tokopedia to create the largest internet company in the world’s fourth most-populous nation.
The combined entity is set to form an Indonesian powerhouse, encompassing businesses from car-sharing and fintech to online shopping and delivery. The two companies said Monday they will form a holding company called GoTo through a deal backed by shareholders including Google and Alibaba Group Holding Ltd.
Gojek co-Chief Executive Officer Andre Soelistyo will head the combined app giant. Patrick Cao, president of Tokopedia, will retain that title at the new entity.
William Tanuwijaya, CEO of Tokopedia, will continue to lead the online shopping pioneer he founded in 2009, while Gojek co-CEO Kevin Aluwi will continue to helm ride-hailing and delivery giant Gojek. Group CEO Soelistyo will head the payments and financial services unit GoTo Financial.
Gojek and Tokopedia have been in discussions for a possible merger since late December after Gojek’s negotiations with rival Grab Holdings Inc. collapsed. Grab last month agreed to go public in the U.S. through a combination with Altimeter Growth Corp., the largest-ever merger with a blank-check company. – Bloomberg