In a bid to start making marks in online lending sector, Indonesian conglomerate-owned e-wallet OVO has bought Indonesia-based P2P lending service Taralite, as first reported by KrAsia.

The acquisition is said to be finalised in February, but no terms from the deal are revealed.

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“For the larger part, the decision to join OVO is because the link-up will help Taralite diversify the types of loans and credits we offer and reach a bigger scale,” said Abraham Viktor, Taralite’s founder, who will remain Taralite’s CEO after the buyout.

To date, OVO has managed to become the third party wallet integrated into both Grab and Tokopedia. Adding Taralite’s online lending features allows OVO to extend loans and credits to shoppers and merchants in its ecosystem.

“Before this deal, we have supported OVO’s “Pay-later” option for shoppers on Tokopedia. We have collaborated with OVO since last year, so this deal is timely,” said Viktor.

The last round of financing Taralite secured was in 2017 for US$6.3 million in venture capital from Japanese SBI Holdings.

Taralite was founded in 2015, and was first named Wedlite. It served with its 60 people-team as a fintech platform to provide loans for personal use.

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Following the acquisition, Taralite’s team has moved to OVO headquarter in Jakarta.

Taralite is said to be one of the first fintech startups operating in the country. OVO is associated with Lippo Group, the well-known local conglomerate.

Image Credit: Taralite.com