Global private equity fund TA Associates announced it invested an undisclosed amount in Chinese payment service Yeepay. HKSE listed finance and leasing service company Far East Horizon also participated in this deal.
Yeepay was established in 2003 with headquarters in Beijing. It offers users integrated O2O payment solutions and facilitates convenient payment between consumers and businesses via internet and mobile apps.
Yeepay has 93,000 active business users and has set up branch offices in over 20 provinces in China. It handled US$77 billion in transactions in 2014 a 100% y-o-y growth.
TA Associates Asia Pacific regional chairman Naveen Wadhera said only an estimated 10% of China’s SMEs use POS payment solutions and the company aims to penetrate those that are still offline and boost industry growth.
China’s third-party payment industry has made long-term development in recent years. Its compositional annual rate of growth (CAGR) reached 54.1% between 2011 and 2013 and is estimated to reach 40.1% during 2013 to 2017, according to a report by IT research and consulting organization iResearch.
China’s third-party payment industry turned over US$3.2 trillion in transactions in 2013. This is expected to increase to US$12.4 trillion by 2017.
TA Associates is also investing in other payment processing companies including India’s BillDesk and US-based BluePay Processing.(Translation by David)
