20 August 2015

by Amir Karimuddin

What We Know So Far About Sequoia Capital's Investment on Go-Jek

Go-Jek's Co-Founder and CEO Nadiem Makarim, in his interview with CNN Indonesia, has admitted that Go-Jek just received investment from Sequoia Capital about three months ago. Sequoia is one of big shot investor in Silicon Valley, invested at tons of successful tech companies, like Apple, Oracle, Google, WhatsApp, Instagram, LinkedIn, and so on. While we we haven't get further confirmation about the size of investment, here's what we know so far about the funding.

This is the second funding round received by Go-Jek, after previous round led by NSI Ventures, Northstar Group's VC arm. The funding is supposedly led by Sequoia Capital's India office, just like its investment in Tokopedia, and should be around double digit of millions of dollar, probably $20 million or more. Word on the street said Go-Jek's current valuation is at $200-400 million. If those numbers are valid, Sequoia's latest investment will give the company around 5 to 10% of Go-Jek's ownership.

Most of funding will go to operational expansion. Makarim told media he has already recruited around 30,000 drivers and it's predicted to have around 60,000 drivers nationwide by the end of the year. With GrabTaxi just received a fresh $350 million investment in its pocket, expect an even bloodier battle for "ojek" competition between those two services in Indonesia. Makarim has expressed his disappointment in GrabBike's pricing policy on giving heavy subsidies, forces Go-Jek to follow suit.

We will update this information once there's further confirmation. In the mean time, Go-Jek has established new shiny management office in Kemang area, its 3rd office after at Jalan Bangka and Jalan Wolter Monginsidi.

Go-Jek's new management office in Kemang. Courtesy of Metro TV News