ToneTag, a global offline proximity based mobile payment technology startup, has raised USD one million in funding from Reliance Capital's Venture fund arm.
The fund will be used mostly for hiring technical and sales-related activities to enable merchants accept cashless transaction, a company top executive said.
"We have raised one million dollars in funding from Reliance Capital's Venture fund arm. We plan to use most of the funding for hiring technical and sales and marketing resources, marketing for influencing user adoption and sales to enable merchants accept cashless transactions," ToneTag VP and Business Development Head Himanghna Dey Sarkar, told PTI.
ToneTag enables contactless payment solution in existing payment eco system by integrating its proprietary software development kit (SDK) at both Merchant (mobile,POS,EDC) and Customer interaction points (M-Wallet, M-Banking Apps).
Officials of Fund Manager of Reliance Venture Asset Management said the payment solution will make consumers to make payments directly from mobile phones, using existing m-wallets.
"Our technology is providing tools to all stakeholders - issuers, acquirers, merchants and consumers to realise frictionless in-store and in-app mobile payments. It is going to redefine payments in the future," ToneTag Chief Executive Officer Kumar Abhishek said.
He said the company aims to reach one lakh merchant devices in next six months.
The startup was founded in 2013 by Abhishek, a former Infosys employee, and Vivek Kumar Singh with clutch of angel investors like Ram Sellaratnam and Rajesh Yohahanna.
"Reliance understands disruption and value technology innovation. ToneTag will benefit immensely from their forward looking culture and global service network," Abhishek said.
Mumbai-based Investment Banking firm Multistrato Capital Advisors was the financial advisor for the deal.
