Visa has invested in Indonesian ride-hailing and food-delivery startup Go-Jek, the two companies said Wednesday. The credit card giant will collaborate with Go-Jek, whose most recent fundraising last year valued it at about $9 billion, in cashless payments across Southeast Asia, they said.
The investment comes as Southeast Asia, home to more than 600 million people, is shaping up to be a hot battlefield for digital payments. Go-Jek, whose backers include Google and Chinese tech giant Tencent, is trying to expand its Go-Pay digital wallet across the region. The companies didn’t say how much Visa invested.
But Go-Jek faces stiff competition from Singapore-based Grab, Southeast Asia’s largest ride-hailing company that last year acquired Uber’s operations in the region. Grab, backed by SoftBank, also is expanding its payment and financial services business, going head-to-head with Go-Jek.