After raising €10 million in June, mobile technology firm, SumUp, announced that they have closed another €10 million round. A provider of mobile point of service (mPOS) hardware, SumUp’s hardware provides merchants the ability to accept card and mobile-based payments without the need of using wired devices. Due to the flexibility the technology provides merchants, mPOS systems have become popular devices for temporary pop-up shops and kiosks.
Raising another €10 million, the funding includes investments from BBVA Ventures and Groupon who had previously been counted among the firm’s investors, raising SumUp’s total to date fundraising to €50 million. According to SumUp, the funds will be used to help them expand to two new countries, reaching a total of 15 and covering three continents. In addition, SumUp plans to use the cash to fund their roll-out and creation of new contactless payment technologies and services.
SumUp, Europe’s leading mPOS company, today announced a new €10 million injection by investors including BBVA Ventures and Groupon. American Express and other current investors also participated in the funding round. This takes SumUp’s funding so far to a total of €50 million, and follows the recent investment by Swiss venture capital firm Venture Incubator AG. Describing what led to the funding, despite having raised €10 million in June, Marc-Alexander Christ, Co-Founder of SumUp, explained to Finance Magnates that the firm received additional investor interest following the June funding.
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For SumUp, the timing of the announcement comes on the heels of a current slump in global stock indexes. As a result of the weakness in equities, reports emerged that this has led to a more difficult environment for startups and other private companies to raise new funding. Nonetheless, Marc-Alexander Christ expressed that the macro situation for stocks didn’t affect them, stating, “Investors are impressed by SumUp’s operational performance and are excited to participate in its success. Smart investors look at the long term outlook, rather than the short term dislocation of financial markets.”
Commenting on their investment, Jay Reinemann, Executive Director, BBVA Ventures, stated, “We’re pleased to offer further support to SumUp, who are shaking up mobile payments and creating opportunities for both merchants and customers. They fit the profile of businesses BBVA Ventures wants to invest in and learn from – those disrupting the mainstream for the benefit of the consumer.”