On Track Innovations Ltd., an Israel-based provider of near field communication and cashless payment solutions, has raised $2.5 million from private investors, according to a press release. The company entered into a share purchase agreement with Jerry L. Ivy, Jr. Descendants' Trust and two other investors who are members of the company's board of directors. 

In addition, the board agreed to appoint one representative to the board designated by Ivy.

"Mr. Ivy, together with two of our directors, have shown this investment as a vote of confidence in OTI,” Yehuda Holtzman, CEO of OTI, said in the press release. “We intend to use these funds to support OTI's growth."

At the initial closing, 6.5 million shares were issued for aggregate gross proceeds to the company of $1.3 million. The company said a subsequent closing for the remaining amount is subject to shareholder approval.

Image courtesy of On Track Innovations Ltd.