HCMC – Japan’s Mizuho Bank is set to spend up to 20 billion yen (US$170 million) acquiring a 7.5% stake in M-Service, Vietnam’s largest mobile, electronic wallet, and payment company which is known for MoMo payment app.
According to Nikkei Asia, the Japanese bank is expected to conduct the M-Service stake acquisition by the end of the year to leverage the Vietnamese company’s retail business.
Established in 2007 and based in HCMC, M-Service is looking to develop MoMo into a super mobile app that gives users access to multiple services, taking advantage of its more-than-50% market share.
MoMo is currently used by over 20 million people in Vietnam. M-Service is expected to raise the number of MoMo users to 50 million in the next two years.
In 2011, Mizuho invested in Vietcombank, a leading commercial bank in Vietnam. The investment in M-Service will pave the way for it and Vietcombank to cooperate in Vietnam’s retail market.