Globe Fintech Innovations Inc. (Mynt), the parent company of GCash, is acquiring 77 percent of Electronic Commerce Payments Inc. (ECPay) for P2.31 billion.
In a disclosure to the Philippine Stock Exchange (PSE), Globe Telecom Inc. said it has entered into an agreement with Mynt for the sale of its 77 percent stake in ECPay.
ECPay’s minority stakeholder, Payment One Inc., is likewise a party to the agreement, effectively making the transaction a full acquisition of ECPay by Mynt.
The deal is currently undergoing thorough reviews. Globe said completion is expected upon receipt of approvals from the relevant regulatory bodies and satisfaction of closing conditions.
Incorporated in 2001 ECPay, is the leading electronic payment service provider in the Philippines which was acquired by Globe for P1.54 billion from Payment One, Inc. and The Andresons Group, Inc. in 2019. While Globe through a joint venture with Ayala Corp. and Ant Financial owned 35 percent of Mynt.
Ernest Cu, Globe president and chief executive officer said, “GCash’s meteoric rise to become one of the top fintech brands and the aggressive expansion of its financial services have created a perfect environment for strategic synergies with ECPay. Mynt’s acquisition of ECPay will enable more efficient and effective sharing of each other’s strengths and resources, thus creating a seamless and upgraded experience for their customers.”
Upon closing of the transaction, ECPay will have access to GCash’s platform, enabling ECPay to better traverse the ever-evolving digital landscape to which GCash is a leader in.
As for Mynt, it is expected to better harmonize the capabilities of both ECPay and GCash.
The acquisition will help GCash provide best-in-class services in the fintech space and further democratize financial access.
ECPay, is primarily engaged in the business of providing IT and e-commerce solutions, including, but not limited to, prepaid phone and internet products, bills payments and others.
Mynt offers over-the-air reloading to the mobile prepaid subscribers of the Globe Group using the Gcash mobile application. This entitles Mynt to a certain percentage share of the prepaid load sales through the Gcash platform.
