CIT GAP Funds Invests in RecargaX, LLC

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Payment network allowing for money service businesses (MSBs) to transmit funds to wireless carriers.

CIT GAP Funds

Center for Innovative Technology GAP Funds

The Center for Innovative Technology (CIT) announced today a $200,000 investment in Leesburg, Va.-based RecargaX, LLC, a company that allows money service businesses (MSBs) to expand their service offerings to large unbanked and under-banked sectors of the economy.

Through its integration with MSBs and a growing number of service providers, RecargaX gives over 100 million Americans that primarily conduct cash transactions the ability to pay their bills and top-up prepaid accounts at over 120,000 brick and mortar retail locations across the U.S. This product allows those who do not have access to a bank account a convenient and easy way to bring cash into and out of the digital economy. RecargaX’s secure connection presents a new revenue opportunity for businesses offering check cashing, money orders, and travelers checks, by deriving transaction fees from millions of unbanked and under-banked consumers.

CIT President and CEO Pete Jobse said, “RecargaX has signed and implemented relationships with major MSBs and wireless carriers, while also in advance negotiations with others. With CIT’s investment, these relationships will continue to develop as RecargaX’s innovative technology advances.”

“Our network gives consumers the ability to replenish their prepaid mobile device, put cash into their mobile wallet, and add or remove cash from their online account,” said Mark Smith, RecargaX President and CEO. “These services are available everywhere a MSB is located: grocery stores, drug stores, and mass merchandisers.”

Tom Weithman, CIT Vice President and GAP Funds Managing Director, said, “The RecargaX network was conceived, designed, and built by a founding team that has an intimate understanding of the payment clearinghouse business. This gives us great confidence that our investment with RecargaX will provide product technology enhancements, business development, and economic growth within the Commonwealth.”

Since its 2005 launch, CIT GAP Funds has placed over 50 investments across the Commonwealth, deploying more than $5M of public funds and attracting $16 dollars of private funding for every $1 of public money invested. (For a list of portfolio companies, please visit the GAP Funds website.)

Learn more about RecargaX, LLC by visiting their website.

About the Center for Innovative Technology, http://www.cit.org

CIT is a nonprofit corporation that accelerates the next generation of technology and technology companies. CIT creates new technology companies through capital formation, market development and revenue generation services. To facilitate national innovation leadership and accelerate the rate of technology adoption, CIT creates partnerships between innovative technology startup companies and advanced technology consumers.

About the CIT GAP Funds, http://www.citgapfunds.org

CIT GAP Funds makes seed-stage equity investments in Virginia-based technology, clean tech and life science companies with a high potential for achieving rapid growth and generating significant economic return for entrepreneurs, co-investors and the Commonwealth of Virginia. CIT GAP Funds investments are overseen by the CIT GAP Funds Investment Advisory Board (IAB). This independent, third-party panel consists of leading regional entrepreneurs, angel and strategic investors, and venture capital firms such as: New Enterprise Associates, Grotech Ventures, Valhalla Partners, Harbert Venture Partners HIG Ventures, Edison Ventures, In-Q-Tel, Intersouth Partners, SJF Ventures, Carilion Health Systems, Johnson & Johnson, General Electric, and Alpha Natural Resources.

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