Zug, Switzerland-based HYGH, a digital outdoor advertising company, announced that it has secured €21.5M in hybrid (debt and equity) financing led by UK’s Sparta Capital Management.
“HYGH has the potential to become one of the global market leaders,” says Fritz Frey, co-founder and chairman of HYGH.
“The strong growth of DOOH advertising and the opportunities it presents support our investors’ confidence in our company and our vision,” adds Frey.
The latest financing round positions the company at a mid-eight-figure valuation.
Fund utilisation
HYGH says it will use the capital to fuel its expansion, focusing on scaling existing networks in Germany, Austria, and Switzerland (DACH region), and entering new European markets.
The company also aims to establish a presence in 15 of the largest German cities within the next twelve months, while strengthening technology leadership.
Outdoor advertising, recognised as the fastest-growing medium in the industry, presents significant potential through innovative technologies.
With the capital secured, HYGH intends to play a vital role in the development of this dynamic market.
HYGH: The DOOH company
Founded in 2018 by Fritz Frey and Antonius Link, HYGH AG focuses on digital outdoor advertising, also known as digital out-of-home advertising (DOOH).
The company says this medium serves as an effective way to capture potential customers’ attention and convey advertising messages in high-traffic locations.
With over 1,800 the DOOH company displays in seven major German cities already, HYGH continues to expand.
With flexible customisation options and straightforward booking processes, HYGH says it is preparing a new digital infrastructure for outdoor advertising.
Through its four networks, advertisers can reach their target audience directly at multiple touchpoints along the customer journey, with targeting enabling both efficient and creative opportunities.
“DOOH is booming and has gained significant market share in the media mix. DOOH is the medium of the future and the way out of the advertising crisis. We are proud to have found a partner who shares our vision and supports us in our growth,” says Lauritz Elmshäuser, CEO of HYGH.
“With fresh institutional capital, we are well-equipped to achieve our ambitious goals and set new standards in digital out-of-home marketing,” adds Elmshäuser.
Currently, the company remains open to partnering with additional capital providers to expedite its expansion plans.
The company has set its sights on an IPO, aspiring to become a prominent global player in the digital out-of-home (DOOH) industry and at the forefront of smart city infrastructure.
The investor
Sparta is a European-focused, multi-strategy investment manager founded by Franck Tuil in 2021.
Sparta seeks investments across asset classes in both public and private markets through fundamental research and analysis. It emphasises capital preservation and risk management.
As of May 2023, Sparta was managing total assets of $590M.
“We are thrilled to lead the investment in HYGH, a disruptive force in the digital out-of-home advertising industry. With their unique positioning and visionary management, HYGH is redefining the advertising landscape,” says Cedric Boghanim, Head of Credit for Sparta.
Read the orginal article: https://siliconcanals.com/news/startups/hygh-raises-21-5m/
