Obopay Confirms $20 Million Round

Obopay, a Redwood City, Calif.-based mobile payment software company, said that it has raised $20 million in Series D funding. GigaOm first reported the news earlier this month.

 

Essar Communications Holdings Ltd. led the round, and was joined by return backers Richmond Management, Qualcomm, Redpoint Ventures, AllianceBernstein, Citi, Promethean India and Societe Generale.

 

PRESS RELEASE

 

Obopay, Inc., the pioneering service provider for payments via mobile phones, announced the closing of its $20 million fourth round of venture funding and the addition of two new board members. This latest round of investment builds on

Obopay's enormous momentum in its business and high-profile partnerships.

 

“This round of investment builds on Obopay's proven success in the

mobile payments market,” explained Carol Realini, CEO of Obopay. “With our continuing focus on delivering services built on specific feedback from consumers, such as the ability to send money from and receive money to any US bank account, the success of our partnerships and our international expansion, we remain confident in the viability of the American — and global — mobile payments market.”

 

Essar Communications Holdings Limited, the telecom subsidiary of Essar Global Limited, led the round and current investors, including Alliance Bernstein, ONSET Ventures, Redpoint Ventures, Richmond Management, Citi, Societe Generale, Qualcomm, and Promethean India participated.

 

In an interesting turn, this investment round also included Obopay

employees who used Obopay from its mobile phones to transfer their payments!

 

Obopay has also named K B Rajendran, Senior Vice President, Essar Global Limited and Robert G. Hottensen, Jr., Senior Vice President for Public Equity at Olayan America Corporation, to its board of directors.

 

An engineering graduate from National Institute of Technology, Calicut with MBA from XLRI Jamshedpur, K B Rajendran has more than seventeen years experience in telecom and payments businesses including Airtel, Enron Broadband, Sify and Venture Infotek. Rajendran commented, “We are excited to invest in Obopay which gives us an opportunity to be involved in this

promising business segment. Since its launch Obopay has introduced significant mobile payments innovations in the U.S. and recently in India too. We look forward to working with Obopay to build upon the integration of the mobile phone into the lives of consumers worldwide.”

 

Hottensen has been with Olayan America Corporation, the New York-based affiliate of The Olayan Group, since 2005. He leads a team of analysts which advises on a wide range of potential investment opportunities. Prior to joining Olayan, Hottensen was a managing director at Goldman Sachs, heading their financial services research group. He is a recognized analyst in this field, who, over a 24-year career at Goldman Sachs, developed

research insights and relationships across the banking, credit card and specialty financial services industries. He has received numerous top rankings in polls by American Banker, The Wall Street Journal and Institutional Investor.

 

Ms. Realini remarked: “The last nine months have included tremendous growth, with new Obopay features, the expansion of existing partnerships and now this latest round of funding and the addition of Robert and K B's expertise to our board. We look forward to continuing to expand the mobile payments market in the U.S. and abroad.”

 

For more information about Obopay, visit http://www.Obopay.com.

 

About Obopay

 

Obopay, Inc. (http://www.obopay.com) is a pioneering service that lets consumers and businesses purchase, pay, and transfer money through any mobile phone using Obopay's mobile application, text message, mobile Web, widget or Obopay.com. As the first mobile payment service created exclusively for the mobile phone, only Obopay works on any phone and any carrier to empower consumers and businesses with the convenience of mobile

payments. Obopay is bringing mobile payments to more consumers through industry-first alliances and is headquartered in Redwood City, California.

 

About Essar Global

 

Essar Global Limited is an Indian conglomerate with fast expanding interests in Canada, USA, Africa, the Middle East, the Caribbean and South East Asia. With an estimated enterprise value of over USD 50 billion and employee strength of 30,000 people worldwide, Essar enjoys prominent position in Steel, Energy, Power, Communications, Shipping & Logistics, and Construction. For more information, visit http://www.essar.com