Hong Kong-based financial technology firm and e-wallet provider TNG has announced its acquisition of Tranglo Sdn Bhd, a cross-border mobile transaction firm, from Malaysian government-linked fund management firm Ekuiti Nasional Bhd (Ekuinas).
TNG paid US$28 million for a 60 percent stake in Tranglo.
Established in 2008, the Malaysia-based firm mainly facilitates cross-border airtime transfer and money remittance transactions among Southeast Asian countries, Hong Kong and mainland China. Its clients include Malaysian telecommunications firm Axiata, Singaporean telecoms operator Singtel, international money transfer platform Transferwise, and payments payout platform HyperWallet.
Tranglo was Ekuinas’ first investment in the technology, media, and telecommunications industry three years ago, having initially purchased a majority stake for about US$13 million, according to Reuters. Since the acquisition, Tranglo has grown its money remittance volume 15-fold, said Ekuinas chief executive Syed Yasir Arafat Syed Abd Kadir.
Tranglo holds money service business licenses in the United Kingdom, Malaysia, Singapore, and Indonesia.
Operating the e-wallet TNG Wallet in Hong Kong, TNG offers 24/7 cash in-cash out and remittance services through its network of banks and cash pick-up points worldwide. In 2017, it recorded over 2 million transactions worth more than US$400 million from about 91,000 users.
TNG’s business relationship with Tranglo has grown over the years. It has extended its partnership with Tranglo to the UK, bringing the business to the European market.
Alex Kong, TNG founder and chairman, said: “The acquisition builds on TNG’s long-standing relationship with Tranglo, which started in Asia.”
Riding on Tranglo’s network, TNG expects to tap into the 1.2 billion unbanked population in Asia.
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