Home » Business » TikTok Becomes Controller of Tokopedia, GOTO Shares Collapse 20%

TikTok Becomes Controller of Tokopedia, GOTO Shares Collapse 20%


fsdCNBC Indonesia

Market

Monday, 11/12/2023 14:51 IWST



Jakarta, CNBC Indonesia – Shares of technology issuers resulting from the merger of two start up unicorn RI, GoTo Gojek Tokopedia (GOTO), collapsed in trading Monday (11/12/2023) after TikTok announced its investment in Tokopedia.

As of 14.34 WIB, GOTO shares had fallen 20.37% to IDR 86/share with a market capitalization of IDR 104.52 trillion. This weakening cut short the rally recorded by GOTO in the last month since the issue of cooperation between TikTok and Tokopedia broke out.

GOTO is the most active stock on the Indonesian Stock Exchange, both in terms of value, volume and transaction frequency. Transactions in GOTO shares were recorded at IDR 2.57 trillion involving 26.2 billion shares and were transacted 174 thousand times.


Today’s total transactions in GOTO shares are equivalent to more than a quarter of total stock exchange transactions, which as of 14.34 WIB were recorded at IDR 10 trillion.

Previously, GOTO announced a TikTok investment value of US$ 1.5 billion or IDR 23.38 trillion (exchange rate IDR 15,585) at PT Tokopedia. The transaction is expected to be completed in the first quarter of 2024.

This corporate action means that the Tokopedia and TikTok Shop Indonesia businesses will be combined under PT Tokopedia, where TikTok will have control over PT Tokopedia. The shopping service feature in the TikTok application in Indonesia will be operated and managed by PT Tokopedia.

Launching information disclosure, GOTO revealed that the company had signed an asset purchase and share takeover agreement on December 10.

“If this investment plan can be completed by the parties, this will result in TikTok becoming the owner of 75.01% of the total issued and fully paid capital in Tokopedia and ownership [GOTO] to 24.99% on Tokopedia,” explained GOTO management through IDX information disclosure, quoted Monday (11/12).

The agreement also states that GOTO’s ownership in Tokopedia will not be further diluted due to future funding from TikTok.



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2023-12-11 07:51:00
#TikTok #Controller #Tokopedia #GOTO #Shares #Collapse

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