Green Dot Corp. has agreed to acquire Loopt Inc., a Silicon Valley mobile social networking company, for $43.4 million.
The Monrovia prepaid debit card provider said Friday that Loopt’s services will help it improve customer acquisition and retention. Its technology also will aid in development of new products and provide Green Dot the opportunity to become a leader in mobile wallets, rewards and other payment systems.
Loopt, which was founded in 2006 in Mountain View, holds several patents related to mobile marketing, including location-based messaging delivered in real time to a mobile phone.
"We believe that mobile phones have the potential to change the way people interact with their bank, control their money and pay for goods and services,” said Chief Executive Steve Streit in a statement. “When Loopt’s assets are layered into Green Dot’s platform, we believe that a significant opportunity emerges for Green Dot to become a large-scale player in mobile technology solutions at the retail point of sale."
Shares were up 44 cents, or 1.5 percent, to $29.91 in midday trading on the New York Stock Exchange.