{"id":5941,"date":"2014-08-08T09:17:38","date_gmt":"2014-08-08T01:17:38","guid":{"rendered":"http:\/\/www.upgrademag.com\/web\/?p=5941"},"modified":"2014-08-12T09:29:46","modified_gmt":"2014-08-12T01:29:46","slug":"pldt-invests-germanys-rocket-internet-pursue-unbanked-unconnected","status":"publish","type":"post","link":"http:\/\/www.upgrademag.com\/web\/2014\/08\/08\/pldt-invests-germanys-rocket-internet-pursue-unbanked-unconnected\/","title":{"rendered":"PLDT pursues the ‘unbanked’ with US$445M investment in Germany\u2019s Rocket Internet"},"content":{"rendered":"

Philippine Long Distance Telephone (PLDT), the country\u2019s leading telecoms operator, has announced that it will invest 333-million euros (US$445-million) for a 10% stake in the Berlin-based Rocket Internet AG (Rocket).<\/strong><\/p>\n

With the investment, PLDT and Rocket will jointly develop mobile and online payment technologies and services for the \u201cunbanked, uncarded and unconnected\u201d population in emerging markets.<\/p>\n

With more than 20,000 employees in its network of companies which operate across over 100 countries, Rocket offers a platform for the rapid creation and scaling of consumer Internet businesses outside the US and China.<\/p>\n

The company\u2019s most prominent brands include leading Southeast Asian e-commerce businesses Zalora and Lazada, as well as fast growing brands such as Dafiti, Linio, Jumia, Namshi, Lamoda, Jabong, Westwing, Home24 and HelloFresh, in Latin America, Africa, Middle East, Russia, India and Europe.<\/p>\n

\"logo\"<\/a>Rocket is focused on online business models across three sectors namely e-Commerce, marketplaces and financial technology and payments, with the third sector anticipated to bring numerous and significant growth opportunities for the company.<\/p>\n

On the other hand, PLDT\u2019s wireless subsidiary Smart Communications, Inc., a global pioneer in mobile banking and mobile wallet services, has introduced several world-class first mobile payment innovations in both domestic and global markets, including markets where up to four out of five people are \u201cunbanked.\u201d<\/p>\n

With transactions valued at approximately 3.4-billion euros (US$4.51-billion) in 2013, Smart\u2019s mobile money system offers online money transfers, payments, disbursement, banking and security.<\/p>\n

Smart\u2019s mobile money subsidiary, Smart eMoney, co-developed and operates a global mobile payments platform of MasterCard. Currently working with Citibank and VISA to develop new innovative financial services, Smart eMoney\u2019s mobile banking platform is also being deployed by the country\u2019s top three banks. Its mobile money services have also been utilized by United Nations and Philippine government agencies for widespread and efficient cash distribution and other relief and rehabilitation efforts in areas affected by recent natural disasters.<\/p>\n

Online and mobile payment solutions for emerging markets<\/strong><\/p>\n

\"Smart<\/a>

Smart Communications Chief Wireless Advisor Orlando Vea, PLDT Chairman Manuel V. Pangilinan, and PLDT President and CEO Napoleon Nazareno answer questions about the company\u2019s \u20ac333 million investment in Germany\u2019s Rocket Internet during a press conference on Thursday, August 7. PHOTO CREDIT: PLDT<\/em><\/strong><\/p><\/div>\n

\u201cThe strategic partnership will allow us to leverage our combined strengths in developing online and mobile payment solutions in emerging markets,\u201d said Napoleon L. Nazareno, President and CEO of PLDT. \u201cRocket has developed a unique platform for establishing new Internet companies and a proven track record in successfully rolling out these businesses in fast growing markets. We expect the partnership to have a pronounced positive impact on our organization.\u201d<\/p>\n

According to Oliver Samwer, Founder and CEO of Rocket Internet, Rocket and PLDT share a vision for the growth opportunity of Internet and mobile business models in emerging markets. \u201cWe believe in our ability to create significant value together, leveraging the Rocket platform and PLDT\u2019s expertise.\u201d<\/p>\n

The investment of PLDT, which will be in new shares issued by Rocket Internet, is of the same class and bears the same rights as shares held by current investors. PLDT joins investment AB Kinnevik and Access Industries as the third external investor in Rocket, in addition to Global Founders GmbH (formerly European Founders Fund GmbH).<\/p>\n

PLDT will fund the investment from available cash and new debt, with no significant impact on PLDT\u2019s leverage ratios and funding costs. As part of the investment, PLDT will hold the right to appoint one member of Rocket\u2019s nine-person Supervisory Board.<\/p>\n

\u201cThis new partnership marks a major step forward in the pursuit of our Love Digital! Vision, bringing us closer to our clients and enhancing PLDT\u2019s innovation capabilities in the digital economy,\u201d commented Manuel V. Pangilinan, Chairman of PLDT.<\/p>\n","protected":false},"excerpt":{"rendered":"

Philippine Long Distance Telephone (PLDT), the country\u2019s leading telecoms operator, has announced that it will invest 333-million euros (US$445-million) for a 10% stake in the Berlin-based Rocket Internet AG (Rocket).<\/p>\n","protected":false},"author":4,"featured_media":5983,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9,19],"tags":[1928,1034,379,1931,343],"class_list":["post-5941","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-apps","category-headlines","tag-mobile-applications","tag-online-payments","tag-pldt","tag-rocket-internet","tag-smart-communications"],"_links":{"self":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/posts\/5941","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/comments?post=5941"}],"version-history":[{"count":0,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/posts\/5941\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/media\/5983"}],"wp:attachment":[{"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/media?parent=5941"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/categories?post=5941"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.upgrademag.com\/web\/wp-json\/wp\/v2\/tags?post=5941"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}