Indonesian fintech firm Kredivo is said to be in the final stages of acquiring GajiGesa, a local earned wage access (EWA) startup, DealStreetAsia reported.
Sources suggest that GajiGesa had been looking for fresh funding for some time, indicating that this deal may be a distress sale.
The transaction is expected to be valued at up to US$10 million, though instead of a cash payout, GajiGesa’s investors are likely to receive Kredivo shares.
Another executive familiar with the matter described the deal as a pure share swap, with GajiGesa’s team expected to remain under Kredivo post-acquisition.
However, it remains unclear whether the GajiGesa brand will continue to operate independently.
Neither Kredivo nor GajiGesa has publicly commented on the acquisition.
If completed, the deal could give GajiGesa access to lower-cost funding via Kredivo’s digital banking unit, Krom Bank.
This could provide an advantage over securing capital through private markets.
Industry analysts see the acquisition as a move by Kredivo to expand its product portfolio beyond Buy Now, Pay Later (BNPL) and digital lending.
However, they also point out that EWA services, which require partnerships with employers, have yet to gain widespread adoption in Indonesia.
Many businesses remain unfamiliar with the concept, making it a riskier bet compared to Kredivo’s existing offerings.
GajiGesa, founded in 2020 by Vidit Agrawal and Martyna Malinowska, integrates with corporate payroll systems to allow employees to access earned wages instantly.
It also offers financial tracking tools, bill payment options, and prepaid card purchases.
Unlike traditional lenders, it does not charge interest or require collateral, as all users are pre-approved by their employers.
Despite these features, the adoption of EWA solutions in Indonesia has been slow, as businesses weigh them against traditional cash loans and consumer credit.
GajiGesa last raised funding in 2022, securing US$2.5 million in a round co-led by Defy.vc and Quest Ventures.
The startup has reportedly raised a total of US$9.15 million to date, according to DealStreetAsia – DATA VANTAGE.
The company operates in a competitive space alongside Wagely, Kini, Gajiku, Paywatch, Mekari Flex, Venteny, Vinmo, and Smartwork.
Among these, Wagely has raised the largest funding so far, securing US$13.63 million and expanding beyond Indonesia to Bangladesh.
Kredivo, previously known as FinAccel, has positioned itself as a key digital financial services provider in Southeast Asia through its BNPL platform Kredivo, cash lending service KrediFazz, and digital banking arm Krom Bank Indonesia.
It operates in Indonesia, Vietnam, Thailand, and the Philippines, and in 2023 raised a US$270-million Series D round led by Japan’s Mizuho Bank.
The company had planned to go public in 2022 through a US$2.5-billion SPAC merger but later scrapped the move due to market conditions.
Kredivo has since stated that it is not pursuing a public listing at this time.
In 2023, its subsidiaries PT Kredivo Finance Indonesia and KrediFazz secured a 1-trillion-rupiah (US$66.57 million) loan facility from state-owned lender Bank Mandiri.
