MANILA, PHILLIPINES: Philippine Long Distance Telephone Co. (PLDT), the country's leading telecommunications provider, said it was buying a 10% stake in German Internet developer Rocket Internet for €333m
PLDT's Napoleon Nazareno says the deal with Rocket Internet makes strategic sense for both companies. Image: Smart
"The partnership will allow the two companies to jointly develop mobile and online payment technologies and services in emerging markets," a PLDT statement said.
"The strategic partnership will allow us to leverage our combined strengths in developing online and mobile payment solutions in emerging markets," PLDT President Napoleon Nazareno said.
PLDT cited Rocket Internet's experience and intellectual property in mobile payments and remittance platforms, often used by the many Filipinos working abroad to send money back home.
It also cited the Berlin-based Rocket's ability to provide products and services for the 'unbanked, uncarded and unconnected' population in emerging markets.
The investment will entitle PLDT to one seat on Rocket's nine-member supervisory board the statement said, adding that the investment would be sourced from available cash and new debt.
Rocket markets itself as the world's largest Internet platform outside of China and the United States, with a strong presence in Europe, Latin America, Russia, India, Africa and the Middle East.
Source: AFP via I-Net Bridge