Fintech and e-payment business, PayU takes Red Dot Payment (RDP). RDP is a Southeast Asia-focused online payment company. Thus, it marks PayU pace in Southeast Asia.
Red Dot Payment itself was founded in 2011. It is Singapore’s largest homegrown and online payment solution. PayU has entered Indonesia and Thailand market. It focuses on online retail, hospitality, charity, food delivery and more.
The deal values RDP at US$65 million. As a result, total amount spent on investment and merger and acquisition from PayU to more than US$700 over the last three years.
Now, RDP founder and CEO Randy Tan will continue to hold a minority stake in the company. Meanwhile, most of the other shareholders will exit.
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What Should we know about PayU?
PayU is a payment and fintech business. Internet group and technology investor Naspers is its owner. Its headquarters is in Hoofddrop, Netherland and was founded in 2002.
The company provides payment technology to online merchants. It also holds licenses from national banks and local regulators. It also offers an anti-fraud system.
The company has acquired many companies around continents. For example, in 2019 alone, it has acquired three companies. They are Lyzico (Turkish digital payment), Wibmo (US financial security firm) and GECAD (Romanian online payment).
Other than that, PayU last year also entered the African market. It signed a memorandum of Understanding with Finserve Africa. It is a Kenyan mobile virtual network operator. The agreement also involved a collaboration with alternative e-payment methods. It collaborated with WeChat and Alipay in Kenya.
Its consistent move demonstrates its commitment to become the leading payment solution. It also aims to be the largest fintech investor in the world.
After PayU takes Red Dot Payment, PayU will integrate RDP platforms into the PayU Hub. As a result, its existing global merchants now have access to Southeast Asia. It has now acquired vast opportunities in the Southeast Asia region.
