PayU, media and e-commerce group Naspers’ mobile payment subsidiary, has purchased Wibmo, a US-based payment technology developer backed by semiconductor technology provider Intel, for $70m.
Founded in 1999 as Enstage, Wibmo, provides online and mobile payments services such as fraud and risk management, authentication, business-to-business payment services and prepaid cards to merchants and financial institutions in 20 countries.
PayU said the acquisition will combine its merchant network and Wibmo’s digital payment security services to customers in high-growth markets such as India, working together to leverage data from consumers.
The company also plans to use big data to power credit, in partnership with lenders, and leverage Wibmo’s mobile payment technology for banks. Govind Setlur, Wibmo’s founder and chief executive, will become part of PayU’s leadership team, though it has not been specified what position he will hold.
Aakash Moondhra, chief finance officer for PayU Global, said: “India is a priority market for PayU and we are committed to making digital payments frictionless through our innovative products and services, supporting the government’s vision of a digital India.
“Through the acquisition of Wibmo, our endeavour is to positively impact and add value to the entire ecosystem including banks, consumers and merchants, with the combined service offerings of PayU and Wibmo.”
Winmo raised $1.5m in 2014 from four unnamed investors, according to a regulatory filing. Intel’s corporate venturing unit, Intel Capital, had provided an undisclosed amount of funding for Wibmo three years earlier.
Wibmo had previously raised an undisclosed sum from venture capital firm Accel in 2009, according to Reuters, adding to $69m it had reportedly already received from unnamed investors.