Gojek and Tokopedia Official Merger, Announce “GoTo” Entity

Gojek and Tokopedia formally merged by forming new entity "GoTo" today (17/5). GoTo combines services E-commerce, on-demand, and financial services into one ecosystem. It is claimed that the combination is spread across Indonesia, as well as the largest between the two internet companies in Asia.

This agreement is supported by the ranks of the main investors of the two companies. They are Alibaba Group, Astra International, BlackRock, Capital Group, DST, Facebook, Google, JD.com, KKR, Northstar, Pacific Century Group, PayPal, Provident, Sequoia Capital, SoftBank Vision Fund 1, Telkomsel, Temasek, Tencent, Visa, and Warburg Pincus.

GoTo Group Ecosystem represents 2% of Indonesia's total GDP and will continue to grow to serve 270 million consumers in Indonesia and other developing countries in Southeast Asia. When described, the GoTo Group has, in total, Gross Transaction Value (GTV) over $22 billion in 2020; more than 1,8 billion transactions in 2020; more than two million registered driver-partners as of December 2020; more than 11 million business partners as of December 2020; more than 100 million monthly active users.

In the official statement submitted, Andre Soelistyo from Gojek will lead GoTo as CEO of the Group, with Patrick Cao from Tokopedia as President of GoTo. Next, Kevin Aluwi will remain as CEO Gojek and William Tanuwijaya will remain CEO of Tokopedia.

Apart from responsibilities at the group level, Andre will continue to lead the payments and financial services business called "GoTo Financials". GoTo Financials includes GoPay services, as well as financial services and business solutions for business partners.

“Today is a very historic day with the creation of the GoTo Group and marks the next phase of growth for Gojek, Tokopedia and GoTo Financial. [..] The presence of the GoTo Group will also enable us to further promote financial inclusion in Indonesia and Southeast Asia," said Andre Soelistyo.

GoTo President Patrick Cao added, “The GoTo Group's business model is becoming more diverse, stable and sustainable. [..] We are excited to embark on the next chapter of our business history and will continue to innovate to drive more inclusive growth in every sector our technology touches.”

Tokopedia Co-Founder & CEO William Tanuwijaya said, “[..] The GoTo Group will make it easy for all levels of society to gain access to quality products and services, anytime and anywhere. There is still a long way to go to reach our goals, but today is about starting a common step.”

Co-Founder & CEO Gojek Kevin Aluwi said, “This is a combination of two companies that share the same principles, thoughts and work ethic. Give birth to a deal with the size and scale of the business like Gojek and Tokopedia in a relatively short and smooth time, this can only be achieved because we both have the same goal, which is to always provide the best experience for consumers supported by the fastest and largest mobility network from our driver and merchant partners."

For this merger process, Goldman Sachs acted as financial advisor Gojek. Davis Polk & Wardwell LLP and Assegaf Hamzah & Partners are acting as legal counsel Gojek. Citi acts as Tokopedia's financial advisor. Allen & Overy LLP is acting as legal adviser to Tokopedia.