Loopt is a mobile location start-up company that has been acquired by Green Dot for $43.4 million. The deal was made entirely in cash with $9.8 million set aside in retention payments for key Loopt employees. Loopt will be shut down soon and the employees will work as Green Dot’s mobile product development team.
Loopt started out as a service that continuously reported where you were to your friends. It was then turned into a check-in service. ?We?ve been doing cool stuff with deals, offers and loyalty, but we haven?t had a way to tie that to payments. Now, instead of being about check-ins, it can be about payments,? stated Loopt CEO Sam Altman in an interview with AllThingsD.
Altman will remain as a part-time partner at Y Combinator where they were a very early participant. Loopt raised $17 million from New Enterprise Associates and Sequoia Capital. Sequoia partner Michael Moritz is a board director at Green Dot.