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Hong Kong tycoon Richard Li-backed fintech Hyphen in advanced merger talks with blank-cheque firm Provident
- Hyphen Group’s merger with blank-cheque company Provident Acquisition could value combined entity at around US$1 billion, say sources
- Provident raised US$230 million in a US IPO in January
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Hyphen Group, a financial technology firm backed by Hong Kong billionaire Richard Li Tzar-kai, is in advanced talks to go public through a merger with blank-cheque company Provident Acquisition, according to people familiar with the matter.
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A transaction could value the combined company at about US$1 billion, the people said, asking not to be identified because the matter is private. The deal may include a private investment in public equity, or PIPE, of about US$100 million anchored by institutional investors, the people said.
Talks are at an advanced stage and a transaction could be announced before the end of this year, the people said.
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The special purpose acquisition company (SPAC) is led by Winato Kartono and Michael Aw, two key executives at Provident Group, an investment fund targeting Southeast Asian start-ups. Some of its high-profile investments include Indonesia’s ride-hailing giant Gojek, online travel company Traveloka and Thailand-based online fashion retailer Pomelo.
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Provident raised US$230 million in a US initial public offering in January. The blank-cheque firm said it would pursue a business combination with a focus on consumer technology companies in Southeast Asia.
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