SmartPay completes $10 million financing round
18 December 2006 | 5037 views | 0
Source: Shanghai SmartPay Jieyin
Shanghai SmartPay Jieyin, ("SmartPay") an electronic payment services leader in China, today announced the recent completion of a Series B round of equity financing.
Under the terms of the financing, RRE Ventures, Evolution Capital, Lunar Group Capital and other existing shareholders will provide equity financing to the Company resulting in total proceeds of approximately US $10 million. The Company will use the proceeds to capitalize on its rapid recent expansion and emergence as a leader in the growing Chinese payments market.
SmartPay provides remote payment services to consumers and intermediaries in China. The Company focuses on merchants with large, recurring transaction volumes including mobile and utility billings, airline ticketing and other transactions. The Company uses ubiquitous "remote" mobile and fixed telephones devices to process these payments, including SMS (short messaging services), WAP (wireless application protocol) and IVR (interactive voice protocol).
SmartPay has built a strong business by focusing on the unique qualities of the domestic Chinese market. The Company works with leading banks, utilities, mobile operators and merchants and leveraged its first mover advantage in developing a business model that is uniquely suited to the rapidly growing Chinese market.
SmartPay will utilize the proceeds of this financing to expand services and accelerate the growth of key performance metrics. In addition, the Company will allocate a certain portion of the proceeds to ongoing exploratory work into new partnerships and a future public offering.
SmartPay's CEO, (Greg) Shen Guowei, commented, "SmartPay is well positioned as a leading, rapidly growing provider of remote payment services in China. The Company has made steady and consistent progress by focusing on a use case that is most applicable for the Chinese market, leveraging the rapid growth in mobile and fixed line phone usage along with the huge growth in certain, primarily offline, transactions."
SmartPay's CEO further commented, "Through this financing, the consolidation ongoing in the payments sector, and the opportunities for leaders in our space, we look forward to continuing to build a payments business that provides real value for our customers, partners, and of course our shareholders."