Mobile payments company First Data has agreed to acquire US-based digital gift card supplier Gyft, providing an exit to Google ventures, the corporate venturing arm of internet company Google.
Gyft enables users to buy and sell gift cards on their mobile devices. The acquisition, made for an undisclosed sum, will see Gyfts’s prepaid mobile cards added to First Data’s range of payment options as the company looks to focus on mobile programmes for retailers and consumers.
Vinny Lingham, chief executive of Gyft, said: “We are joining First Data to accelerate our growth and significantly improve the gift card experience for both customers and retailers.
“As a part of First Data’s suite of innovation-powered products, Gyft will be added to a portfolio of technology-driven gift solutions that link advanced consumer-engagement technology with point-of-sale business solutions.”
Gyft raised $5m in series A funding in 2013 from A-Grade Investments, Canyon Creek Capital, Social + Capital Partnership, Karlin Ventures and angel investors. Google took part in the company’s $1.3m seed round in 2012, in which Founder Collective and 500 Startups also participated.