News from the Wire

Pay By Touch Secures $25M in Ongoing Series B Financing

Thursday, June 03, 2004 — 12:37:39 (EDT)

SAN FRANCISCO, June 3 /PRNewswire/ -- Pay By Touch today announced a $25%%Nmillion soft closing in its ongoing second investment round, bringing total%%Ninvested capital in the biometric authentication and payment solutions company%%Nto $37 million. The Series B financing, led by Mobius Venture Capital, also%%Nincludes the Gordon P. Getty Family Trust and private investors.%%N%%NPay By Touch is the pioneer of end-to-end biometric authentication and%%Npayment processing services, and boasts patented front-end biometric payment%%Nsystem. The funding will be used to expand the sales and marketing reach of%%NPay By Touch, as well as to support the company's product development%%Nactivity.%%N%%N"Our ongoing investment in Pay By Touch supports the continued development%%Nnot only of the company's signature biometric payment solution, but also of%%Nthe strategic growth of Pay By Touch as an end-to-end payment processing%%Noffering," said Gary Rieschel, executive managing director of Mobius Venture%%NCapital. "Given the strength of the management team and the company's%%Ninnovative, patented product, we expect Pay By Touch to solidify and extend%%Nits leadership position in this market."%%N%%N"Pay By Touch has rapidly surpassed noteworthy competition in terms of%%Nproduct sophistication, strategic payment solutions and corporate credibility%%Nand awareness," said Thomas Woodhouse, Trust Administrator for the Gordon P.%%NGetty Family Trust. "As a new investor, the opportunity to participate in Pay%%NBy Touch's market infiltration was extremely attractive, and we fully expect%%Nthat Pay By Touch will shortly become the industry-leading market force."%%N%%N"This infusion of capital comes at a strategic point for Pay By Touch, as%%Nwe have established significant presence in the payment processing arena, and%%Nare poised to aggressively roll out new national customers," said Craig%%NRamsey, Pay By Touch CEO. "As biometrics gain credence among merchants and%%Nconsumers as a valuable and secure payment method, we are well-positioned to%%Ncapitalize on anticipated world-wide market growth."%%N%%NPay By Touch recently announced it has completed the $30M acquisition of%%NIPS Solutions (iPAY), a merchant processing platform with approximately 18,000%%Ncustomers. iPAY is an industry-leading XML gateway-processing platform. The%%Nacquisition was effective in March with Pay By Touch maintaining IPS as a%%Nwholly owned and separately operated subsidiary. The IPS acquisition reflects%%NPay By Touch's ongoing evolution from a single payment solution to a provider%%Nof end-to-end biometric authentication and payment processing services.%%N%%NMobius Venture Capital%%N%%NWith offices in Palo Alto, California and Superior, Colorado, Mobius%%NVenture Capital is a $2 billion U.S.-based private equity venture capital firm%%Nmanaged by an unparalleled team of former CEOs and entrepreneurs, technology%%Npioneers, senior executives from major technology corporations, and leaders in%%Nthe investment banking community. Mobius Venture Capital combines its%%Ntechnology expertise and broad financial assets with the industry's best%%Nentrepreneurs to create a powerhouse portfolio of over 100 of the world's%%Nleading high technology companies. For more information on the fund's%%Ninvestment team, technology vision and portfolio companies, please visit%%Nwww.mobiusvc.com.%%N%%NGordon P. Getty Family Trust%%N%%NThe Gordon P. Getty Family Trust is one of several private Getty family%%Ntrusts that are successors to a trust created by Sarah C. Getty for her son,%%NJ. Paul Getty, and his descendants in 1934. It has investments across a broad%%Nrange of securities, including private equities.%%N%%NPay By Touch%%N%%NHeadquartered in San Francisco, Pay By Touch offers patented biometric%%Npayment processing services, including a free consumer payment service that%%Nallows shoppers to pay for purchases using a finger scan to access their%%Nfinancial accounts and loyalty programs. With Pay By Touch, the checkout%%Nprocess is faster, more convenient, and more secure than other payment%%Nmethods. It eliminates the need to present credit, debit, checks, membership%%Nor loyalty cards at the point of sale. For more information, please visit%%Nwww.paybytouch.com.%%N%%NSource: Company Press Release

The Green Sheet Inc. is now a proud affiliate of Bankcard Life, a premier community that provides industry-leading training and resources for payment professionals. Click here for more information: bankcardlife.com?orid=33533&opid=1 .

Source: Company press release.