VCs back Retailo fund raising

French venture capital player Seventure Partners has led a €7m second funding round of Retailo, a Cologne-based gift card retailer.

Joining Seventure in backing the company was German VC house Wellington Partners and Swiss early-stage investor Endeavour Vision, both of which participated in Retailo’s initial funding round in September 2007.

Retailo sells prepaid gift cards of various trading companies under one banner, which is accepted at several thousand internet locations. The business sells cards from approximately 40 brands.

Dr Wolfgang Krause of Seventure Partners, who will join the Retailo board of directors, said: “Retailo has demonstrated an outstanding execution in implementing the gift card mall business into the German and Swiss market. This has convinced us to participate in Retailo’s further growth and shows our continued strong commitment to financing excellent German-based ICT companies with strong growth potential.”