Globe Fintech Innovations Inc. (Mynt), the operator of GCash, on Monday said it has raised some $175 million in fresh capital from ASP Philippines LP, a limited partnership fund managed by investment firm Bow Wave Capital Management.
The said fund will be infused in multiple tranches, with postmoney valuation of the final tranches at close to $1 billion.
“This investment from Bow Wave is a validation of both what we have accomplished as well as the potential of GCash in unlocking digital services in the Philippines,” Martha Sazon, Mynt president and CEO, said in a statement.
“The pandemic has acted as a catalyst in highlighting the importance of digital finance in society today and with this investment from Bow Wave, we look forward to further living out our vision of finance for all, enabling democratized access to payment and financial services to every Filipino.”
GCash recorded gross transaction value of over P1 trillion in 2020, spurred by services like online payments, bank cash-in and sending money.
“We have made significant gains that further cemented our status as the leading finance app in the country. We are further encouraged by the fact that Mynt’s momentum has continued, even as the country moved out of quarantine restrictions, suggesting a fundamental shift in our customers’ behavior towards a cashless lifestyle. We are confident in Mynt’s future prospects as a unicorn in the Philippines,” Ernest L. Cu, chairman of Mynt said.
Bow Wave is a close-ended private equity fund with a mandate to invest globally in online and mobile payment ecosystem companies. Bow Wave’s investment in Mynt, its first in the Philippines, will translate to a minority equity interest in the Mynt.
Other terms of the investment remain confidential, the company said.
“Mynt has made great strides in the fintech space in the Philippines. Recognizing this fact and our shared values, Bow Wave supports the vision of Mynt to provide finance for all Filipinos. We are excited for this investment and we hope to add value to Mynt as it realizes its vision,” said Itai Lemberger, founder and CIO of Bow Wave.
UBS AG acted as financial advisor for Mynt for the transaction.