MOUNTAIN VIEW, Calif.—Google is reportedly in discussions to make an acquisition that would allow it to offer financial services of its own rather than being reliant on partner banks and credit card companies.
Google is looking to acquire Tokyo-based cashless payment provider Pring, FinTech Magazine reported.
Pring is currently owned by Mizuho Bank, along with a number of investors and Google is reportedly set to pay between $180 million and $270 million for all of the company's shares.
“The cashless payment market in Japan is in a relatively immature state compared to other countries where there has been wider adoption of alternative payment methods. Japanese consumers have been slow to embrace cashless payments, which suggests that the market has plenty of room for expansion,” FinTech Magazine stated. “The entry of Google will intensify competition in the sector, where other technology players have already seen opportunities.”
Japan's share of cashless payment in retail transactions was just under 30% in 2020, compared with 70%-90% in South Korea and China.
Pring currently provides payments, cash transfers, and withdrawals via smartphones and computers to its clients. It also has over 400 corporate customers who use the service to make small payments to other business owners or offer reimbursements to customers.