- Leading Indonesian digital wallet provider Dana raised $250 million from local conglomerate Pt Sinar Mas Multiartha Tbk PSMUF and Alibaba Group Holding Limited's BABA Lazada Group, Bloomberg reports.
- Dana looks to expand in its home country and deepens its ties with Alibaba through the move.
- Dana, partly owned by Jack Ma's Ant Group Co, will use the funds to invest in new tech and launch more financial services in one of the fastest-growing fintech markets, CEO Vince Iswara said. Alibaba owns a third of Ant.
- The value of digital payments in the country has already exceeded both credit and debit card transactions in Indonesia, according to Bank Indonesia data.
- Dana plans to offer lending, wealth management, and insurance.
- Dana's funding coincides with Chinese fintech giant Ant's attempts to expand across Southeast Asia, where it has local partners in Indonesia, Malaysia, the Philippines, and Thailand.
- Ant set up a digital bank called ANEXT Bank in Singapore to beat the domestic regulatory hurdles.
- Digital payments are a crucial way for internet companies to win customers in Southeast Asia, a region of 650 million population with limited penetration of credit cards.
- Price Action: BABA shares traded higher by 0.26% at $91.43 in the premarket on the last check Wednesday.
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