Bukalapak and Grab to invest in Indonesian lender

Participation in local rights issue underscores tech giants' interest in finance

Bukalapak and other Southeast Asian tech companies see promise in Indonesia's digital banking sector. (Source photos by Reuters and screenshot from Allo Bank's YouTube page)

SHOTARO TANI, Nikkei staff writer

January 4, 2022 20:14 JST

JAKARTA -- A host of leading tech companies in Southeast Asia are set to invest in an Indonesian lender, marking the latest entry of major players from that sector into the country's banking industry.

Indonesian tech giant Bukalapak will subscribe to a planned 4.8 trillion rupiah ($335 million) rights issue by local lender Allo Bank, the bank said in a statement to the Indonesia Stock Exchange on Monday.