December 23, 2022 Approval for JICT's Decision on Project Support

(ICT-based payment solutions business in the U.S.)

The Minister for Internal Affairs and Communications yesterday approved an application from the Fund Corporation for the Overseas Development of Japan's ICT and Postal Services Inc. (headed by OSHIMA Amane, President & CEO) to authorize a decision on support for an ICT-based payment solutions project in the U.S.

1. Background

The Fund Corporation for the Overseas Development of Japan's ICT and Postal Services Inc. (JICT) submitted an application to the Minister for Internal Affairs and Communications based on the provisions of Article 25, Paragraph 2 of the Act on the Fund Corporation for the Overseas Development of Japan's ICT and Postal Services (Act No. 35 of 2015). This application sought approval for JICT's decision to support an ICT-based payment solutions project in the U.S. (the "target project").
In response to the application, the Minister examined the nature of the support and the target project in accordance with the Support Standards for the Fund Corporation for the Overseas Development of Japan's ICT and Postal Services (MIC Notice No. 412 of 2015) and has confirmed that the project meets the support standards. Accordingly, the Minister yesterday approved the application as requested.

2. Target project

JICT will invest up to US$40 million in order to participate in an ICT-based payment solutions project in the U.S., together with Synqa Co., Ltd. and others.
The project involves the acquisition of all shares in Merchant e-Solutions, Inc., a company providing payment processing services that was founded in the U.S. in 1999, and which provides management services for the numerous participating merchants that form its customer base. The resultant acquisition of Merchant e-Solutions' payments processing business know-how and customer base will support business expansion by Synqa, which is expanding its fintech solutions business in Southeast Asia and Japan.

Outline

  • Target project: ICT-based payment solutions business in the U.S.
  • Target region: The U.S.
  • Approved amount of support by JICT: Up to US$40 million
  • Joint investors: Synqa and others
  • *
    The published materials are in Japanese only.

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