Ignia Fund Gets 50% of Barafon

Mexico-based VC fund Ignia is investing MXP38.1m ($3.1m) in Barafon, a provider of public telephony and related services to low-income customers. With the investment, the fund gains a 50% stake in the company, says an Ignia spokesperson. She also says that the payment will be done in 3 installments, 1 per year until 2012. “With funding from Ignia we will rapidly expand our network of micro-businesses, while developing additional products and services that are economically and socially beneficial to the base of the socioeconomic pyramid,” says Jose Gonzalez, CEO and founder of Barafon, in a statement. Barafon has over 600 phone booths throughout 4 Mexican states.