Totm Technologies will extend a US$3.75 million convertible loan to PT Cakrawala Data Integrasi (CDI) and the two will enter an exclusive tie up to provide verification-as-a-service to Indonesia’s private sector, the Singapore-listed company said in a filing to SGX Monday.
Earlier this year, CDI entered a deal with the Directorate General of Population and Civil Registration under the Ministry of Home Affairs (Dukcapil) to facilitate Dukcapil, as the provider of a joint platform called Platform Bersama, in granting access to identification and face phone data to small and medium enterprises for faster verification and authentication, the filing said. CDI is one of three companies awarded a Platform Bersama license, the filing said.
Under the deal, Totm will extend the loan to support CDI’s Platform Bersama venture and CDI will exclusively use Totm’s 51 percent-owned subsidiary PT International Biometrics Indonesia’s (InterBIO) products for Platform Bersama and will share 60 percent of its Platform Bersama revenue with InterBIO, the filing said.
InterBIO provide its existing biometric products to CDI’s customers, the filing said.
CDI will use the proceeds of the convertible loan for working capital requirements related to the Platform Bersama business, the filing said.
Pierre Prunier, CEO and executive director of Totm, said Platform Bersama marks a significant development in Indonesia’s identity management industry.
“It will drive broader and faster adoption of identity management solutions by Indonesian enterprises and individuals alike,” Prunier said in the statement. “With the advent of digitalization and Covid-19 driving the need for identity verification, the Indonesian market has seen considerable interest in identity management solutions from both corporations and end users.”
Prunier added the deal will provide access to a wider range of SMEs which are just starting to adopt biometric authentication.
CDI is 70 percent-owned by Dery Isna Prasetia, with Muhammad Reiza Rizki Saleh holding the remainder, the filing said.