Temu Plans to Acquire Bukalapak, Triggering Controversy
Jayson 12 Oct 2024 08:51
Chinese e-commerce platform Temu is reportedly seeking to enter the Indonesian market by acquiring Indonesian e-commerce platform Bukalapak. At the same time, Temu is also considering acquiring a local online shopping platform in Vietnam.
When Temu tried to enter the Indonesian market, Bukalapak's share price rose significantly, sparking rumors that Temu might acquire Bukalapak.
Bukalapak's company secretary Cut Fika Lutfi said the company was not aware of information related to Temu's acquisition plan, and stressed that if verified acquisition plan information is received, it will be disclosed in accordance with applicable laws and regulations.
On October 7, Bukalapak's share price rose 30.43% to 150 rupiah per share on its first trading day. The market reacted positively to the unconfirmed acquisition rumors.
However, Minister of Communications and Information Technology Budi Arie Setiadi opposed Temu's entry into the Indonesian market. He believes that Temu's business model of directly connecting consumers to factories will pose a threat to local small and medium-sized enterprises. "This business model will destroy small and medium-sized enterprises," he said in an interview with reporters.
Meanwhile, Temu was officially launched in Vietnam on October 7. Although there are rumors that Temu is in talks with a local e-commerce platform in Vietnam to seek an acquisition, these news have not been confirmed.
When Temu tried to enter the Indonesian market, Bukalapak's share price rose significantly, sparking rumors that Temu might acquire Bukalapak.
Bukalapak's company secretary Cut Fika Lutfi said the company was not aware of information related to Temu's acquisition plan, and stressed that if verified acquisition plan information is received, it will be disclosed in accordance with applicable laws and regulations.
On October 7, Bukalapak's share price rose 30.43% to 150 rupiah per share on its first trading day. The market reacted positively to the unconfirmed acquisition rumors.
However, Minister of Communications and Information Technology Budi Arie Setiadi opposed Temu's entry into the Indonesian market. He believes that Temu's business model of directly connecting consumers to factories will pose a threat to local small and medium-sized enterprises. "This business model will destroy small and medium-sized enterprises," he said in an interview with reporters.
Meanwhile, Temu was officially launched in Vietnam on October 7. Although there are rumors that Temu is in talks with a local e-commerce platform in Vietnam to seek an acquisition, these news have not been confirmed.
