Coinstar, the Bellevue-based parent company of the Redbox DVD rental kiosk venture, has boosted its investment in ecoATM, a San Diego company that makes automated kiosks for buying used phones and other electronics.
The additional investment came as part of a $17 million Series B financing round announced by ecoATM this morning. Coinstar and other existing investors, Claremont Creek Ventures and TAO Ventures, increased their investment and were joined by new investors PI Holdings, Moore Venture Partners, AKS Capital and Singapore billionaire Koh Boon Hwee, according to the company.
EcoATM has 50 locations, primarily in California, but it also has one on Microsoft’s Redmond campus, accessible to the company’s employees and their guests.
Originally known for its coin-counting machines, Coinstar’s business has increasingly been driven by its Redbox unit, which posted a sales increase of nearly 39 percent to $503 million in the first quarter.
Coinstar is also looking to expand the Redbox brand to additional types of automated retail kiosks, including upscale coffee machines.