There is a growing need in the industry for advertising solutions that can perform successfully without relying on cookie functionality as regulation, platform dynamics, and consumer choice continue to erode the effectiveness of the adtech mainstay known as cookies. A Spanish adtech company currently operating in this space has raised a significant amount of money in order to capitalize on the opportunity.
Seedtag, a contextual advertising startup that utilises AI techniques to “read” information on a page and match it with the goals of advertisers, as well as measure how those advertisements perform, has received “over” €250M (more than $252M, exact figure unknown). The funds are coming from a single investor, Advent International, and will be used to assist the company expand beyond Europe, notably deeper into the United States.
Fund usage
The funds will be used to scale the company’s Contextual AI technology, LIZ, as well as for innovation and global operations, advancing its expansion into the United States, and providing additional firepower for future M&A activity as Seedtag enters its next phase of international growth. Growth in the United States is a significant strategic priority, with Albert Nieto, co-CEO and co-founder of Seedtag, migrating with offices now created in New York, Miami, Chicago, and Los Angeles, the company said in a statement.
Seedtag’s existing institutional investors – Oakley Capital, Adara, and All Iron Ventures – will remain investors as part of the deal, supporting the company in its next phase of growth.
Seedtag was co-founded and is co-led by ex-Googlers Jorge Poyatos and Albert Nieto, and as part of the investment, Nieto will relocate to the United States to assist build the business there.
Previous fundings
Seedtag, which was founded in Madrid in 2014, has only raised about $46M in the previous eight years, with previous investors including Intelectium Business, Oakley Capital, All Iron Ventures, and Adara Ventures. Its previous investors, as well as the two co-founders, remain stakeholders in this round.
Jorge Poyatos and Albert Nieto, co-founders and co-CEOs of Seedtag, stated, “We’re very excited about this partnership with Advent. This investment will massively accelerate our US expansion, boost our growth and reinforce our team and the development of our technology. This move further supports our mission of building the global leading platform for contextual advertising, offering an effective solution for cookieless advertising on the open web.”
Gonzalo Santos, Managing Director at Advent International and Head of Spain, said, “Seedtag has established itself as a leading player in Europe and Latin America in the very dynamic contextual advertising sector. We are delighted to partner with Jorge and Albert as they continue to build on this momentum. With our international presence and deep sector expertise, Advent will work with the Seedtag management team to further expand the business internationally. We look forward to supporting this hugely exciting business to grow and scale-up and to taking it to the next level.”
Another evidence of its development is the addition of a number of high-profile clients, including Unilever brands, LG, Levis, and others.
