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Euro ad tech outfits score funding rounds countering rumours of a slow-down in investment

UK-based ad tech outfit Admedo has announced $6m in funding making it the second such European company to do so this week, after Sweden-based Widespace announced a €15.8m funding round three days ago.

Admedo has today (4 February) announced that MMC Ventures has led the Series B funding round in the London-based outfit, which claims its emphasis on transparency is its key differentiator in the programmatic media trading space.

The funding, which sees MMC Ventures join existing investors Sussex Place Ventures and will be used to aid its international expansion, adding to its existing presence in Europe, the US, and will soon include Asia.

Simon Menashy, Investment Director, MMC Ventures, said: “We’ve been watching programmatic advertising’s explosive growth with interest, but so far most of the benefits have gone to the same established players in the ad world.

This investment quickly followed the announcement from Widespace that it had secured €15.8m to similarly fulfil its own expansion plans, as it seeks to further uptake of its mobile advertising offering across Europe, the Americas and the MENA region.

The majority of the investment has been raised through a new share issue to current owners Industrifonden, Northzone and other shareholders, including Kreos. Mårten Vading, General Partner, at Kreos, added: “With an ability to create higher value for brands, users and media houses Widespace has become the leader in data driven brand mobile advertising. It is our belief that this journey has only just begun. We are pleased to have Widespace as one of our first investments from our new €400m fifth fund.”

Leading financial market observers in the US had been promoting the notion of an ‘ad tech drought’, with several high-profile financiers attesting to how many ad tech vendors are ‘struggling to get meetings’ with venture capital, and private equity firms a little over six months ago.

Terrence Kawaja, CEO of financiers Luma Partners, speculated this struggle to achieve interest from financiers may have influenced the glut of M&A activity in the sector (the outfit notes there were 82 in total throughout 2014).

Although, ad tech firms hailing from this side of the Atlantic, seem to have succeeded in winning over financiers in Europe. The two deals noted above quickly follow the news that Denmark-based programmatic company Adform scoring $21.5m in funding, just days after fellow Nordic outfit Kiosked announced a $30m cash-injection.

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