\tChina\u2019s central bank approved the acquisition of Beijing-based digital payments company Guofubao by a local PayPal subsidiary, allowing the US provider to gain a foothold in one of the world\u2019s leading markets for mobile transactions.<\/p>\n
In an announcement, Guofubao confirmed The People\u2019s Bank of China had given the nod for PayPal\u2019s Shanghai-based subsidiary Yinbaobao Information Technology to acquire 70 per cent of the company.<\/p>\n
Through brand GoPay, Guofubao provides a variety of B2B and B2C platforms for digital payment services and holds a number of financial service licences.<\/p>\n
It supplies third party mobile wallets, remittance services and works with major banks in the country.<\/p>\n
Taking advantage of China\u2019s burgeoning mobile payment sector, which is dominated by WeChat parent Tencent and Ant Financial\u2019s Alipay, has long been an aspiration of PayPal CEO Dan Schulman.<\/p>\n
In February 2018, the executive highlighted the significant opportunity in the country [1], having signed partnership agreements with tech giant Baidu and subsidiaries of Alibaba.<\/p>\n
With the acquisition PayPal becomes the first major Western digital payments company to hold a banking licence on the Chinese mainland.<\/p>\n
Financial details of the transaction were not disclosed.<\/p>\n[1] https:\/\/www.mobileworldlive.com\/?p=256863&preview=true<\/p>\n","protected":false},"excerpt":{"rendered":"
China’s central bank approved the acquisition of Beijing-based digital payments company Guofubao by a local …<\/p>\n
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