Wave Money, a provider of mobile financial services in Myanmar, operates the largest financial services network in the country, with an agent network that is over 16 times larger than that of traditional bank branches.
Singapore Exchange-listed Myanmar-focused business conglomerate Yoma Strategic Holdings has announced plans to increase its shareholding and take a controlling interest in Wave Money by acquiring the entirety of Telenor Group’s current 51-percent stake in Wave Money for $76.5 million, the company said in the press release.
Wave Money is a joint venture between Telenor, First Myanmar Investment, Yoma Bank and Yoma Strategic Holdings and provides mobile financial services through a nationwide agent network of more than 58,000 «Wave Shops» in urban and rural areas across 295 out of the 330 townships nationwide. Following the transaction, Wave will become a subsidiary of Yoma, with the latter planning to invest up to an additional $25 million, the announcement said.
In May, Ant Financial said it would be investing $73.5 million in Wave Money to become a substantial minority stakeholder by way of new share issuance.
Strong Growth Expected
«This acquisition is part of our goal to build a strong financial technology ecosystem in Myanmar. Wave Money continues to see sustained growth in its agent and digital platforms, with Wave Pay gaining strong traction during the COVID-19 pandemic through the acceleration in and adoption of cashless payment solutions,» Melvyn Pun, CEO, Yoma Strategic, said about the deal.
Myanmar has an expanding middle class and an urbanized and tech-savvy population, but a large share of the population remains unbanked. The fast-growing economy and has drawn the interest of investors, with financial technology and mobile solutions expected to play a significant role in this growth.
According to Wave, transfer volumes more than tripled in 2019 year-on-year to reach MMK6.4 trillion ($4.3 billion). During the same period, revenue and transaction numbers also tripled. W\
