People should not forget the PT. Mitra Distribusi Utama (MDU) acquisiton upcoming this is the game changer $70m annual revenues! See the Zoom video IPO 49 times revenues! Net profits of $7.6m profit valued at $14.4 billion market cap! Kpay aimed for $10m+ net profit in 2019!
JAKARTA, Indonesia, June 12, 2018 /PRNewswire/ -- KinerjaPay Corp., (OTCQB: KPAY), a US-based mobile payment and digital eCommerce platform provider with its main market in Indonesia, announced today that it has signed a Memorandum of Understanding (MoU) agreement with PT. Mitra Distribusi Utama (MDU), a mobile prepaid top-up provider in Indonesia, to acquire MDU's business units as well as to prepare future expansion plan ?on its current business model. The combined businesses could exceed $70 million in sales in 2019.
MDU has been operating as mobile prepaid top-up data package provider for all telco operators in Indonesia since 2007. With its recent achievement of over $30 million sales in 2017, ?mainly in selling prepaid top-up balances and data plan for internet usage to Indonesia's ever growing mobile internet users, KinerjaPay Corp. is confident that MDU and PT. Kinerja Pay Indonesia (or KPI, its fully-owned Subsidiary based in Jakarta) will be able to grow the business stronger throughout the country.
This acquisition will also help improve KPI's operating income as it will be able to negotiate lower costs of mobile prepaid top-up rates, which will in turn make KPI to become more profitable in all its transactions, especially in mobile prepaid top-up and data plan packages. Together, with current KPI's average transaction of around 200,000 transactions quarterly and MDU's average of 2,000,000 transactions quarterly, this merger will transform KPI into one of the leading mobile prepaid and data plan distribution companies in the country.
By signing the Memorandum of Understanding, both parties agree to start the Due Diligence process, which is expected to last for two months, starting from June 11th, 2018, and agree to share available resources and data pertinent to MDU's performance. MDU's current Executive, Mr. Harimin Ginoto, has also agreed to stay as being MDU's executive for the next 12 months after completion of the takeover, to help monitor and grow the business to achieve KinerjaPay's targeted over $70 million in sales.
Details of the exact purchase price will be released after the finalization of the due diligence process. ?According to Mr. Edwin W. Ng, Chairman and CEO of KinerjaPay Corp., "This is the moment we are all waiting for, KinerjaPay will transform into a major player in Indonesia's mobile prepaid top-up industry". The Company's CEO of PT. Kinerja Pay Indonesia, Mr. Deddy Oktomeo, also commented, "Achieving the transaction level of over 2 million transactions quarterly will allow KPI to achieve significant profitability as well as reach a sales level of over $70 million per year. We fully expect to migrate these users to all other KinerjaPay product offerings and allow significant growth beyond 2019".
News 
Market Data 
Discover 
