MEDIA RELEASE
Allianz X teams up with WeLab to invest in Indonesian digital banking market
● WeLab-led consortium including Allianz X has partnered with Indonesian conglomerate Astra to jointly acquire Indonesia’s Bank Jasa Jakarta
● WeLab will leverage its own experience and digital expertise to drive BJJ’s transformation into a leading digital bank in Indonesia
● Indonesia’s banking market has significant growth potential, especially in digital realm
Munich/Hong Kong/Jakarta, 19 September 2022 — Allianz X has invested in WeLab-led consortium WeLab Sky Limited (“WeLab Sky”), which, together with a wholly owned subsidiary of PT Astra International Tbk (“Astra”), has acquired a total stake of 99.13% in Indonesian commercial bank PT Bank Jasa Jakarta (“BJJ”), held equally between the two parties as joint majority shareholders. It is Southeast Asia’s largest digital bank M&A transaction in 2022. All relevant regulatory approvals have been obtained, including from the Financial Services Authority (“OJK”) of Indonesia and the acquisition has been completed.
An Allianz X portfolio company since March 2021, WeLab is one of Asia’s leading digital-native financial services companies, which operates WeLab Bank, one of Asia’s first fully licensed digital banks. WeLab has over 50 million individual users, over 700 enterprise customers, and is growing fast across Hong Kong, Mainland China, and Indonesia.
“Indonesia’s banking market is ripe for a big growth and digitalization push,” says Nazim Cetin, CEO of Allianz X. “By participating in the transaction, we are both taking advantage of an excellent opportunity in Southeast Asia and supporting our portfolio company WeLab in its growth.”
With its 274 million inhabitants, of which 77% have limited to no access to banking services, Indonesia has a sizable segment of tech-savvy younger customers and great demand for addressing unmet financial needs with digital banking solutions. The government is looking to improve access to financial services by supporting the development of digital banking.
“By acquiring a majority in BJJ, we are able to expand WeLab’s digital banking services to the huge Indonesian market with around 180 million tech-savvy younger consumers and more than three quarters of its population estimated to be unbanked or underbanked,” said Simon Loong, Founder and Group CEO of WeLab. “The transaction attracted significant interest from investors, some of whom have also already invested in WeLab. We’re excited to complete this transaction together with the support from Allianz X.”
In an effort driven by WeLab, BJJ will be transformed into a digital bank. It will offer customers digitalized basic financial services such as bank accounts, payment solutions, and lending products, as well as more in the future. With the new digital offering and improved digital customer experience, BJJ’s customer base is expected to multiply within the next few years.
WeLab has also already built a successful lending platform in Indonesia under the Maucash brand together with Astra and has over 3 million users. The acquisition of BJJ will bring significant cross-business synergies and create another toehold for WeLab in the region. BJJ will also benefit from having Astra as one of its majority shareholders, as the conglomerate is one the largest in Indonesia and operates its own significant multi-industry ecosystem, for which BJJ will become a preferred partner.
With this transaction, Allianz X has expanded its Asian portfolio. In addition to WeLab, Allianz X already has stakes in platform company GoTo and telemedicine provider Halodoc, both of which are headquartered in Indonesia. The portfolio also includes 99.co, a real estate platform based in Singapore, and BIMA, a provider of microinsurance with significant business volume in Asia.
For further information, please contact:
Allianz X
Gregor Wills, +49 89 3800 61313, gregor.wills@allianz.com
WeLab
Group Communications Team, +852 6214 4734, pr@welab.co
About WeLab
WeLab, a leading pan-Asian fintech platform, operates WeLab Bank as well as multiple online financial services with leading positions in Hong Kong, Mainland China, and Indonesia, with more than 50 million individual users and over 700 enterprise customers. WeLab uses game-changing technology to help customers access credit, save money, and enjoy their financial journey.
Powered by proprietary risk management technology, patented privacy computing techniques, and advanced AI cap abilities, WeLab offers mobile-based consumer financing solutions and digital banking services to retail individuals and technology solutions to enterprise customers.
WeLab operates in three markets under multiple brands, including WeLend and WeLab Bank in Hong Kong, various business lines in Mainland China, and Maucash and a digital bank in Indonesia.
WeLab is backed by the most renowned investors including Allianz, China Construction Bank International, International Finance Corporation (a member of the World Bank Group), CK Hutchison’s TOM Group, and Sequoia Capital.
To learn more, please visit: www.welab.co, or follow WeLab on LinkedIn and Facebook.
About Allianz X
Allianz X invests in digital frontrunners in ecosystems relevant to insurance and asset management. In just a few years, it has grown to a portfolio of more than 25 companies and AuM of over 2 billion euros. Allianz X has counted 11 unicorns among its portfolio so far. The heart and brains behind it all is a talented team of around 40 people. As one of the pillars of the Allianz Group’s digital transformation strategy, Allianz X provides an interface between Allianz Operating Entities and the broader digital ecosystem, enabling collaborative partnerships in insurtech, fintech, and beyond. As an investor, Allianz X supports mature digital growth companies to take the next bold leap and reach their full potential.
This media release and its assessments are subject to this disclaimer.
