Cirtek Holdings Philippines Corp. said it expects newly acquired electronic commerce firm MultiPay Corp. to contribute at least P500 million in revenues this year.
Cirtek chief finance officer and treasurer Anthony Buyawe said in a news briefing the company would spend P1 billion to launch 16 new e-commerce solutions over the next two the three year.
Cirtek acquired a 49-percent stake in MultiPay, a leading provider of e-commerce system integrations, for an initial investment of P100 million in December.
Buyawe said by using Cirtek’s technology and capital MultiPay would be in the position to launch for products to the market.
Cirtek Holdings group vice president and president Roberto Juanchito Dispo said the acquisition would give Cirtek access to superior e-commerce solutions, which would fortify its posture in the market as a fully-integrated solutions provider.
“The consolidation of Cirtek’s core strength in hardware and connectivity with MultiPay’s expertise in software and technology systems makes us confident that we will be able to provide effective and innovative e-commerce solutions to the emerging markets in the region,” Dispo said.
“The consolidation of Cirtek’s core strength in hardware and connectivity with MultiPay’s expertise in software and technology systems makes us confident that we will be able to provide effective and innovative e-commerce solutions to the emerging markets in the region,” he said.
Dispo, citing figures from Statista, a leading web-based statistics company, estimated the e-commerce transaction value in the Philippines, including bills payments and online money transfers, at $4.1 billion in 2016. It was projected to grow to $10.6 billion by 2020.
“The growth in Philippine transaction value is faster at 160 percent over the period, compared to the projected 114 percent for global transaction value,” Dispo said.
MultiPay president and chief executive David Almirol said the entry of Cirtek would provide MultiPay with the financial support to take advantage of the still many low-hanging fruits in the Philippine electronic commerce space and expand its business in other Southeast Asian markets.