Mobile chipmaker Qualcomm, fashion retailer H&M, payment technology provider Klarna and payment services firm American Express have exited Sweden-based rewards platform Wrapp, in an acquisition by banking software producer Meniga.
The size of the transaction has not been disclosed but Ómar Þór Ómarsson, Meniga’s head of marketing, said in a blog post announcing the deal that Wrapp’s shareholders will receive shares in Meniga rather than cash.
Wrapp has created a service that links to a user’s phone to track their purchases, supplying them with cash rewards when they buy from participating brands. Its platform will be integrated with Meniga’s own rewards service under the latter’s brand.
Aage Reerslev, chief executive of Wrapp, will take on a newly created position at Meniga dubbed vice-president of rewards. Wrapp had raised between $34m and $44m altogether.
The company had received a total of $10.5m in series A funding from Atomico, Creandum and Greylock before all three joined American Express, Qualcomm subsidiary Qualcomm Ventures and SEB Private Equity, the third-party investment arm of banking firm SEB, for a $15m series B round in 2013.
H&M and Klarna provided approximately $3m in funding for the company in 2015 before it added $1.7m from financial services firm Nordea early the following year.
Financial services firm Länsförsäkringar Bank and Collector Ventures provided an undisclosed amount of convertible debt financing in late 2016 which was followed by $3.6m from Nordea in July 2017 according to Nordic 9, which reported that it had at that point previously raised $40m.
