Norwegian Telenor sells its stake in Burmese Wave Money
BANGKOK (AP) — Norwegian telecommunications company Telenor plans to sell its 51% stake in Burmese fintech company Wave Money to its main partner in the venture, Yoma Strategic Holdings.
Telenor confirmed the $53 million deal, announced earlier, in a statement posted on its website on Tuesday.
Yoma was founded by Burmese tycoon Serge Pun. The purchase gives him a 75% stake in the company, formerly known as Digital Money Myanmar Ltd. The rest is held by private investors.
Wave Money provides money transfer and digital payments services. It has played a vital role in Myanmar’s financial transactions, especially after the disruption of regular banking services following the military takeover on February 1, 2021.
Telenor has since sought to withdraw from Myanmar, but has not yet finalized plans to sell its mobile networks, announced in July, to M1 Group, a Lebanon-based investment firm.
Telenor wrote off the value of that business after the military takeover sparked a public backlash and authorities imposed limits on mobile and internet access.
In 2020, Wave Money processed $8.7 billion in payments, or around 12% of Myanmar’s GDP, according to Telenor. It has 45,000 “Wave Shops” across the country.
According to a detailed list compiled by the Association for Assistance to Political Prisoners, more than 1,400 civilians died as security forces suppressed non-violent protests against the Burmese military takeover, which overthrew the elected government of the National League for Democracy of Aung San Suu Kyi.
Peaceful protests continued, but armed resistance to the crackdown grew, to the point that UN experts warned the country could descend into civil war.