TikTok to Take Control of Indonesia’s ecommerce Platform

What to Read Next

1. Attain, Tombras Partner for Real-Time Outcomes Analysis

2. Demandbase, Gong to Streamline Sales Workflows

3. Essendant, Rithum Partner for Channel Fulfilment

4. FCCI Insurance Elevates Customer Experience with Glia

TikTok has completed its deal to take control of Indonesia’s ecommerce platform, Tokopedia, which has allowed the Chinese social media giant to restart its online shopping business in the country. Under the deal with GoTo, TikTok Shop’s Indonesia business will be injected into the enlarged Tokopedia entity.

GoTo Group CEO Patrick Walujo said, “Today marks the completion of a partnership with TikTok that will continue to bring benefits to Indonesia and its MSMEs [micro, small and medium enterprises]. It is also a big step forward for GoTo Group.” 

GoTo said it achieved positive adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) in the final quarter of 2023, as targeted, though details on the amount will not be shared until March. As its profitability improves, GoTo also said it may conduct a share buyback.

Indonesian tech conglomerate GoTo said that TikTok, owned by China’s ByteDance, had completed a deal agreed in December to buy 75.01% of Tokopedia for $840 million from the conglomerate.