Under the terms of the financing, RRE will take a minority equity stake in SmartPay. Additionally, current SmartPay shareholders, including Accel Partners, Icon Ventures Asia, Lunar Group and others, have exercised rights to invest additional capital in the Company.

Commenting on the investment at a demonstration of SmartPay's services in Beijing, Greg Shen, SmartPay's CEO, said, "I am extremely pleased that RRE has decided to invest in SmartPay as we continue to rapidly deploy our mobile payment services in China and build on our leadership position. RRE's expertise in the wireless and payments space is truly unique, and its network of connections should prove valuable in this rapid stage of SmartPay's evolution."

Jim Robinson IV, RRE Ventures founder and general partner, added, "We are excited about SmartPay and the prospects for building an innovative payments business in China. SmartPay has built up an early leadership position based upon its close interaction with Chinese banks and its unique mobile payment services. This provides a strong platform for future growth, and an opportunity to leverage numerous synergies with RRE's network of relationships and portfolio companies." Robinson will join SmartPay's Board of Directors effective immediately.

Derek Sulger, SmartPay's CFO, further commented, "Everyone at SmartPay is excited about the investment from RRE, and also particularly pleased to see the support given to us by our existing investors, a large majority of whom exercised their right to invest additional capital in the Company. This is a tremendous sign of trust and confidence as we undertake the ambitious challenges of building upon our leadership position in China's mobile payments space."