A Filipino fintech company Mynt [Globe (telecom)] has raised $175 million in funding, as the global mobile payments are in demand amid and post-pandemic, as per TechAsia. (Mynt Filipino Globe Telecom 175m Techasia)
Key Takes:
- Mynt, a Filipino fintech company, raised $175 million in funding from ASP Philippines
- Mynt operates GCash, an e-wallet that saw a record-breaking 3.8 trillion peso transaction volume in 2021
- The investment valued the company at $2 billion, achieving a double unicorn status
- 2020 saw over 1 trillion pesos ($20.8 billion) worth of transaction volume for GCash
- The pandemic has accelerated the shift toward a cashless lifestyle
- Bow Wave Capital Management, Warburg Pincus, and Insight Partners are three top investors in Mynt
- Mynt has raised $475 million to date from two funding rounds
Mynt is another arm of global telecom giant Globe, and also operates GCash, an e-wallet that facilitates millions of users in the Filipino fintech market. As there was a surge in online payments amid the pandemic, Mynt saw an opportunity to show good numbers and bag fresh funding of $175 million from ASP Philippines. [Mynt Filipino Globe Telecom 175M TechAsia]
The investment fund was funded by ASP Philippines, and managed by Bow Wave Capital Management, along with the company’s ongoing shareholders.
Mynt, the fintech firm, accurately predicted a transaction volume of 3 trillion pesos during its $300 million funding round, reported by TechInAsia. The prediction proved true as Mynt reported a record-breaking 3.8 trillion pesos transaction volume on GCash in 2021.
After this investment, the company is now valued at $2 billion, achieving a double unicorn status.
According to Mynt, 2020 was a good year for the company, especially for its e-wallet, GCash. The pandemic-affected year (2020) registered over 1 trillion pesos ($20.8 billion) worth of transaction volume, making Mynt and GCash relevant in the Filipino market. GCash is a multipurpose online wallet having features such as investing, transactions, mutual and market funds, etc.
“The pandemic has acted as a catalyst in highlighting the importance of digital finance in society today,” stated Martha Sazon, CEO of Mynt.
“We are 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 toward a cashless lifestyle,” stated Ernest Cu, board of chairman, Mynt.
“We are confident of furthering Mynt’s market leadership and creating positive and transformative disruption in the Philippine financial services sector,” Cu added. [Mynt Filipino Globe Telecom 175M TechAsia]
Most venture capital firms today follow a strategy or a pattern of angel investors in order to feel security from their investments. For instance, one of the investors of this $175 million fund, Bow Wave Capital, follows the strategy of the big fish namely, Alibaba and Ant Group. Also, they have a history with mobile and e-payments, which is why Mynt caught their attention.
Another factor to be noted here is that it is Bow Wave’s first time investing in a Filipino company, which is likely to develop into a long-term financial relationship with the Filipino fintech industry.
Mynt and GCash
Mynt, the innovative fintech company, has had a successful journey so far, with two funding rounds under its belt. According to Crunchbase, the company has raised an impressive $475 million to date.
With such strong financial backing, it’s no wonder that Mynt is making waves in the industry. Three of the top investors that have supported Mynt’s growth are Warburg Pincus, Insight Partners, and Bow Wave Capital Management. These three powerhouses have recognized the potential of Mynt and have played a significant role in its success.
Deven Parekh, Managing Director at GCash, says that their e-wallet [GCash] has “created the most compelling product to reach the massively underserved market in the Philippines.” [Mynt Filipino Globe Telecom 175M TechAsia]