30 Aug 2021
VGI continues strategic expansion with investment in Jaymart
VGI reported it will acquire a 15% stake in Jaymart PCL (“Jaymart”) for THB 6.3bn, as it continues to expand its retail presence and partnership network, advancing its business strategy for the next phase of growth. Jaymart has a growing ecosystem of retail and consumer finance and is a lead adopter of new technology, including its utility token JFincoin. The transaction is subject to Jaymart shareholder approval.
This marks a further step from the recent acquisition of Fanslink, an omni-channel e-Commerce service provider and the leading brand management for Chinese brands as VGI continues to expand beyond its O2O Solutions of advertising, payment and logistics to actively invest in partners for which it can reduce partner marketing costs and grow their customer reach. Further, VGI and Jaymart should be able to extract distribution synergies, such as selling Fanslink products throughout Jaymart and Singer Thailand PCL’s branch network.
VGI is a company which started off in OOH media, evolved to O2O solutions and now broadly sees itself as a marketing solutions Company, with a healthy balance sheet, strong backing from majority shareholder BTS Group and a unique ability to deliver synergies to its partners from through access to its 3M (Move, Mix, Match) ecosystem. Within Move, BTS Group expects daily ridership to reach 3mn daily passengers by 2026 with one third coming from non-rail business.
Nelson Leung, CEO of VGI shared “We are excited about this investment opportunity not only as we believe Jaymart will enjoy a sustained growth cycle, but the partnership is expected to open multiple avenues of collaboration across the retail, marketing and data verticals.”