INSIDER INFO: Japan’s MUFG buys into GCash, valuing biggest PH e-wallet at $5B

GCash, the Philippines’ largest mobile payments platform has welcomed a new foreign investor — the largest financial group in Japan — in preparation for the country’s largest initial public offering ever.

InsiderPH confirmed from multiple sources that Japan’s Mitsubishi UFJ Financial (MUFG) has taken an equity stake in Mynt, the holding firm that manages Globe Telecom’s popular e-wallet service.

The deal, which was sealed yesterday and will be officially announced this Friday morning, will involve MUFG taking an 8% stake in Mynt.

The price the Japanese financial conglomerate will pay will give GCash a valuation of $5 billion.

This is 150% higher than the $2-billion value that GCash gained during its last funding round in 2021.

GCash

The Philippines' biggest mobile payments platform will become the fourth most valuable private financial institution in the country, behind BDO Unibank, the Bank of the Philippine Islands, and Metrobank.

At the same time, the Ayala Group will increase its stake in Mynt by 8% to match MUFG. It will do so at the same price as the Japanese investors, according to insiders.

The Mynt shares that are involved will be a mix of primary and secondary issues, with some private equity investors selling down their stakes to make way for the new shareholder.

A $5-billion valuation makes GCash the fourth most valuable financial institution in the Philippines, ahead of all other universal banks in terms of market capitalization except the three largest: BDO Unibank, the Bank of the Philippine Islands, and Metrobank.