Philippines-listed conglomerate Ayala Corporation announced that it has acquired an additional 8% stake in Global Fintech Innovations Inc (Mynt), the parent company of the country’s major finance super app GCash.
In a disclosure, Ayala Corporation said it is paying 22.9 billion pesos (about $393 million) to raise its ownership stake in Mynt to 13%. The deal values Mynt at approximately $5 billion.
Ayala Corporation, which is making the investment through its wholly-owned subsidiary AC Ventures Holding Corp, said the deal is part of its initiative to reallocate capital.
“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,” said Cezar Consing, president and CEO of Ayala Corporation.
In a separate announcement, Mynt said Mitsubishi UFJ Financial Group (MUFG), Japan’s largest banking group, is also acquiring an 8% stake in the company, through its subsidiary, MUFG Bank Ltd.
“With our investment, we are excited to expand our contribution to the ongoing development of the Philippines’ digital economy and financial inclusion,” said Yasuhi Itagaki, senior managing corporate executive and head of Global Commercial Banking Business Group at MUFG.
Mynt is the parent company of GCash, the ubiquitous finance super app in the Philippines with over 90 million active users. GCash is a joint venture between Alibaba’s Ant Group, Ayala Corporation, and Globe Telecom, through its corporate venture builder 917Ventures.
Mynt became the country’s first tech unicorn in 2021 after raising over $300 million in a funding round that valued the company at over $2 billion. It recorded a net income of 6.7 billion pesos ($115 million) in 2023, thrice of what it was the previous year.
The company teamed with Southeast Asian e-commerce platform Lazada at the end of April on loans for micro, small, and midsize sellers on the partner’s Philippine website.
The collaboration follows a tie-up at the end of last year with insurer Pioneer to offer products for overseas Filipino workers on GCash.
Earlier this year, GCash also expanded its service with online payment giant PayPal and formed a partnership with South Korean startup E9pay. GCash accounts can be linked to those counterpart services in other countries for enhanced user convenience.
