By Komfie Manalo
Mynt, the parent company of GCash, saw its value jumping to P201.4 billion ($5 billion), more than doubling its P116.6 billion ($2 billion) valuation from the last funding round in 2021, after securing fresh investments from Ayala Corporation and Mitsubishi UFJ Financial Group (MUFG), Japan's largest banking group.
In a statement, Mynt said Ayala, through its wholly-owned subsidiary, AC Ventures Holdings, Inc. (ACV), will increase its investments by acquiring an additional 8% stake. At the same time, MUFG, through its consolidated subsidiary, MUFG Bank, Ltd., will acquire an 8% stake after entering into binding agreements to invest in Mynt.
"We are thrilled to welcome MUFG as a new strategic partner. With their global expertise and reach within the financial inclusion space, they will further expand GCash's social impact, especially to the underserved. Alongside this, Ayala's unmatched commitment to Philippine economic growth & development and its expertise in multiple industries will accelerate GCash's mission," said Martha Sazon, president and CEO of Mynt.
Yasushi Itagaki, senior managing corporate executive and head of the global commercial banking business group at MUFG, commented, "GCash is an indispensable infrastructure for Filipinos' everyday lives, and we are delighted to join Mynt as a strategic investor to support the company's growth. With our investment, we are excited to expand our contribution to the ongoing development of the Philippines' digital economy and financial inclusion."
Ayala Corporation president and CEO Cezar Consing added, "We like Mynt's long-term growth prospects. It is a clear leader in a fast-growing space and a key contributor to the Philippines' economic growth. Mynt is valuable because it enables underserved Filipino consumer and business segments to thrive."
In the past four years, Mynt has seen unprecedented growth in its user base and transactions, fueled by innovations and a keen focus on improving customer experience.
Aligned with its commitment to financial inclusion, this fresh investment will further spark economic growth in the Philippines by unlocking financial services to Filipinos.
The proposed investment is subject to the execution of definitive transaction documents and the satisfaction of customary closing conditions. Upon completion, MUFG will join Mynt's shareholder base, and Ayala will increase its stake in Mynt. Morgan Stanley acted as Mynt's exclusive financial advisor.
As of 2023, Mynt recorded P6.7 billion of net income.
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