GoTo, the largest digital ecosystem in Indonesia, and TikTok, a leading global entertainment platform, today announced the completion of their previously announced transaction that aims to drive long term growth for Indonesia’s MSMEs and digital economy.
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Tokopedia and TikTok Shop Indonesia’s businesses are now officially combined under the PT Tokopedia entity, which is now jointly owned by GoTo and TikTok as strategic partners in Indonesia, with TikTok holding a controlling stake. The integration and migration process for a seamless shopping experience within Tokopedia and the TikTok app in Indonesia has been making good progress and is set to be completed within the trial period in consultation with the relevant ministries and in line with prevailing regulations.
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In addition, GoTo Group showed strong performance at the end of 2023, enabling it to achieve positive Adjusted EBITDA for the whole of the fourth quarter, while exceeding the top end of its full year Adjusted EBITDA guidance range. Details of this will be provided at the company’s 4Q and full year 2023 results to be released in March.
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GoTo Group CEO, Patrick Walujo, said: “Today marks the completion of a partnership with TikTok that will continue to bring benefits to Indonesia and its MSMEs. It is also a big step forward for GoTo Group. Having reached positive adjusted EBITDA for the fourth quarter of 2023, we can now look forward to accelerating our progress, driven in part by supportive ecosystem partners. As our profitability and cash flow continue to improve, we will optimize our capital usage in line with a newly developed capital allocation plan, which may include a share buyback initiative, subject to regulatory and shareholder approval.”
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Executive Director, E-commerce, TikTok Indonesia, Stephanie Susilo, said: “We are proud to officially work with Tokopedia, its stakeholders and employees. We view this moment as a significant milestone in our commitment to contribute to Indonesia, its MSMEs and the growth of its digital economy alongside GoTo as a partner.”
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About GoTo Group
GoTo is the largest digital ecosystem in Indonesia. GoTo’s mission is to ‘empower progress’ by offering technology infrastructure and solutions that help everyone to access and thrive in the digital economy. The GoTo ecosystem provides a wide range of services including mobility, food delivery, groceries and logistics.
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About TikTok
TikTok is the leading destination for short-form mobile video. Our mission is to inspire creativity and bring joy. TikTok’s global headquarters are in Los Angeles and Singapore, and its offices include New York, London, Dublin, Paris, Berlin, Dubai, Jakarta, Seoul, and Tokyo.
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