The battle for Southeast Asia’s potentially huge mobile Internet market is getting intense. In the latest indication, Chinese Internet company Tencent Holdings is in talks about a possible investment in Go-Jek, Indonesia’s biggest mobile ride-hailing and delivery service, people familiar with the matter said.
Go-Jek, backed by Sequoia Capital, is the market leader in Indonesia and was valued at around $1.3 billion last year in its previous fundraising. But it faces fierce competition from Singapore-based Grab, Southeast Asia’s most valuable ride-hailing startup whose investors include Japan’s Softbank and Chinese ride-sharing giant Didi Chuxing. Earlier this month, Grab said it would invest $700 million in Indonesia over the next four years. Uber is also trying to increase its presence there through an alliance with a local taxi operator.