via NewMediaWire –
NextGen Retail Inc (“NextGen Retail”),
the online retail arm of
Society Pass Incorporated ("SoPa”)
(
Nasdaq: SOPA), Southeast Asia’s (SEA) next generation,
data-driven, loyalty, fintech and e-commerce ecosystem, today
announces that it has entered into an agreement to acquire 95% of
PT Inetindo Info (“Inetindo”), a wholly subsidiary of Story-I
Limited (“Story-I”). Inetindo is a leading Indonesia-based Apple
Premium Reseller and Authorised Education Partner as well as an
electronic gaming retailer for several different gaming companies.
Click Here (on Securities and Exchange
Commission website) to view Form 8-K filing.
Subject to Australian Stock Exchange (“ASX”) and
Story-I shareholder approvals, anticipated by September 2023,
NextGen Retail, formerly known as Leflair Inc, will complete its
first acquisition outside of Vietnam in the large and fast growing
Indonesian market. Through cross-selling synergies, the Inetindo
acquisition will accelerate the growth of SoPa’s other Indonesian
businesses, including NusaTrip Inc and Thoughtful Media Inc.
NextGen Retail acquires Inetindo with its
physical and intangible assets in an all-cash transaction valued at
AUD 2.78 million equal to approximately US$1.85 million based on
current exchange rates. Operating in Indonesia since 2010, Inetindo
employs approximately 300 employees and operates 26 “Story-I”
branded Apple stores in 9 cities across Indonesia. As an Apple
Authorised Education Partner and Apple Authorised Service Provider,
respectively, Inetindo sells Apple devices and solutions to leading
international schools and tertiary institutions and repairs Apple
products at its service centres.
With the easing of COVID restrictions in March
2022, Indonesia’s fast growing middle class and soaring digital
adoption have fueled a rebound in online and offline retail traffic
back to pre-pandemic levels. Inetindo’s financial performance has
responded accordingly. Unaudited 1H FY23 (July to December 2022)
revenues totaled AUD 20.9 million (US$13.9 million) compared to 1H
FY22 revenues of AUD16.3 million, representing an increase of 28%
year-on-year. Similarly, unaudited 1H FY23 gross profit of AUD 2.9
millon (US$1.9 million) grew 16% from 1H FY22 gross profit of AUD
2.5 million (US$1.6 million). As of 31 December 2022, Story-I’s
assets totaled AUD 25.44 million (US$16.7 million).
Overall FY 2022 (July 2021 to June 2022)
revenues and gross profit totaled AUD 42.4 million and AUD 6.0
million, representing increases of 1.2% and 0.7% over the prior
corresponding period, respectively.
Michael Chan, Founder and Executive Director of
Story-I, comments, “Society Pass’s acquisition of Inetindo and the
Story-I brand creates a win-win-win transaction for all parties
involved. First, our shareholders win as the acquisition
consideration represents a 15% premium to Story-I’s market
capitalisation over the past 45 trading days and allows Story-I to
continue under a new name. Second, Inetindo’s partners and
employees win as Society Pass is well capitalised to quickly expand
Inetindo’s retailing and maintenance businesses throughout
Indonesia. I wish Society Pass and NextGen Retail the best of luck
as they take over a strong brand in Indonesia. Although we exit the
Indonesia electronics retailing business, we are excited about both
Story-I’s and Inetindo’s future prospects.”
The Indonesian economy is the largest in SEA and
the 16th largest in the world with a 2023 nominal gross domestic
product of US$1.39 trillon. OECD forecasts Indonesia’s real GDP
growth to be 4.7% in 2023 and 5.1% in 2024. EcommerceDB estimates
the Indonesian Electronics & Media eCommerce market to reach
US$13.8 billion by 2023 and to increase to US$18.0 billion by 2027,
reflecting a compound annual growth rate of 6.9%.
Loic Gautier, CEO of NextGen Retail Inc,
explains the acquisition’s rationale, “The Story-I acquisition is
the natural evolution of our Leflair Vietnam business. As we
venture out of Vietnam and into the rest of SEA, we will transform
how customers access the world’s most desirable brands through our
integrated omni-channel, online-to-offline retail platform. NextGen
Retail’s mission is the following:
- provide brands with a one-stop distribution solution to access
consumers across SEA;
- integrate all sales channels for maximum brand awareness and
sales performance;
- provide Asian consumers with access to the world’s best
brands;
- serve our customers anywhere and provide them with personalized
shopping experience;
- deliver best-in-class customer experience.”
The acquisition is subject to customary closing
conditions and completion of ASX regulatory review and Story-I’s
shareholder approvals. The deal is anticipated to close by
September 2023 and is expected to be accretive to SoPa’s non-GAAP
earnings per share upon close.
About Society Pass Inc.Founded in 2018 as
a data-driven loyalty, fintech and e-commerce ecosystem in the
fast-growing markets of Vietnam, Indonesia, Philippines, Singapore
and Thailand, which account for more than 80% of the SEA
population, and with offices located in Angeles, Bangkok, Ho Chi
Minh City, Jakarta, Manila, and Singapore, Society Pass
Incorporated (Nasdaq: SOPA) is an acquisition-focused
holding company operating 6 interconnected verticals (loyalty,
digital media, travel, telecoms, lifestyle, and F&B), which
seamlessly connects millions of registered consumers and hundreds
of thousands of registered merchants/brands across multiple product
and service categories throughout SEA.
Society Pass completed an initial public
offering and began trading on the Nasdaq under the ticker SOPA in
November 2021.
SoPa acquires fast growing e-commerce companies
and expands its user base across a robust product and service
ecosystem. SoPa integrates these complementary businesses through
its signature Society Pass fintech platform and circulation of its
universal loyalty points or Society Points, which has entered beta
testing and is expected to launch broadly at the beginning of 2023.
Society Pass loyalty program members earn and redeem Society Points
and receive personalised promotions based on SoPa’s data
capabilities and understanding of consumer shopping behaviour. SoPa
has amassed more than 3.3 million registered consumers and over
650,000 registered merchants and brands. It has invested 2+ years
building proprietary IT architecture to effectively scale and
support its consumers, merchants, and acquisitions.
Society Pass leverages technology to tailor a
more personalised experience for customers in the purchase journey
and to transform the entire retail value chain in SEA. SoPa
operates Thoughtful Media Group, a Thailand-based, a social
commerce-focused, premium digital video multi-platform network;
NusaTrip, a leading Indonesia-based Online Travel Agency; VLeisure,
Vietnam’s leading provider of hotel management and payment
solutions; Gorilla Global, a Singapore-based, mobile network
operator; Leflair.com, Vietnam’s leading lifestyle e-commerce
platform; and Pushkart.ph, a popular grocery delivery company in
Philippines.
For more information on Society Pass, please
visit:
Website at https://www.thesocietypass.com or
LinkedIn at
https://www.linkedin.com/company/societypass or
Facebook at
https://www.facebook.com/thesocietypass or
Twitter at https://twitter.com/society_pass
or
Instagram at
https://www.instagram.com/societypass/.
Cautionary Note Concerning Forward-Looking
StatementsThis press release may include “forward-looking
statements,” within the meaning of Section 27A of the Securities
Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended. All statements other than statements of
historical fact included in this press release are forward-looking
statements. When used in this press release, words such as
“anticipate”, “believe”, “estimate”, “expect”, “intend” and similar
expressions, as they relate to us or our management team, identify
forward-looking statements. Such forward-looking statements are
based on the beliefs of management, as well as assumptions made by,
and information currently available to, the Company’s management.
Actual results could differ materially from those contemplated by
the forward-looking statements as a result of certain factors
detailed in the Company’s filings with the SEC as well as
anticipated sales growth in Indonesia and the growth of the
Indonesian economy. All subsequent written or oral forward-looking
statements attributable to us or persons acting on our behalf are
qualified in their entirety by this paragraph. Forward-looking
statements are subject to numerous conditions, many of which are
beyond the control of the Company, including those set forth in the
Risk Factors section of the Company’s registration statement and
prospectus relating to the Company’s initial public offering filed
with the SEC. The Company undertakes no obligation to update these
statements for revisions or changes after the date of this release,
except as required by law.
Media Contacts:
Rokas SidlauskasChief Marketing
Officer
rokas@thesocietypass.com
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