ExtremeReach Adds $50M from Spectrum to Expand Video Ad-Tech
That brings us to ExtremeReach, a Needham, MA-based company that provides online video ad distribution systems. ExtremeReach, which has been profitable for some time and had all the marks of looking for a big expansion, has added more than $50 million in private investment from Spectrum Equity, a Boston-area growth equity investor.
ExtremeReach’s services allow advertisers to send out marketing campaigns across video platforms, from TV to Web to mobile devices, and measure how they perform.
That convergence is looking like a big deal in the future of advertising spending—while TV’s share of ad dollars overall has grown for many years, some are predicting that digital video ads will start truly eating into that share soon.
There are plenty of digital media companies ready to take the money. Facebook, for example, is reported to be targeting video ads as it tries to build out a solid business on top of its billion-user social network. AOL, still attempting a seemingly endless resurrection, recently said that it has finally started to see growth in video and other premium digital ads.
In a news release, ExtremeReach says the money will “support the company’s rapid growth and expansion through acquisitions.” The company, which has about 225 employees in 10 offices across North America, also says that it doubled revenues last year and is currently on pace for a $100 million year in sales.
ExtremeReach also says that it has more than 3,000 clients, “including the world’s largest retail, beverage and automotive brands.”
All together, those are the types of numbers that could make a public company. So keep an eye out to see which smaller players or competitors ExtremeReach rolls up with this new round of financing.