L-r Grant Peggie of British Business Bank, Nick Pinks CEO of Covatic and Julian Dennard of Mercia
A company responsible for developing a software platform that enables broadcasters to deliver personalised content to users’ mobile devices has secured an £850,000 investment, led by the MEIF Proof of Concept & Early Stage Fund - managed by Mercia Fund Managers and part of the Midlands Engine Investment Fund.
As part of the deal, University of Oxford spinout Covatic, has relocated its head office and development team to Birmingham. This latest investment, which also includes money from Oxford Sciences Innovation fund, Creative England, management and private investors, will allow the company to bring its software to market and create six new technical and management jobs. It brings the total raised by the company to over £1.6million.
Covatic’s innovative platform understands where and when a user is consuming media on their mobile – crucial insight that can provide guidance on the most appropriate format for content delivery; for example, an audio clip when an individual is walking to the station and downloaded material to read on the train. It allows media companies to deliver personalised content and tailored adverts to boost advertising revenues but without the need to expose any personal data. As personal data is never accessed on the user’s mobile, privacy is protected at all times.
Founded in 2016, Covatic has already delivered a successful prototype for the BBC and is in commercial discussions with a number of key global broadcasters currently interested in rolling out Covatic’s software platform by the end of 2018.
Nick Pinks, CEO of Covatic, said:
“The future of TV is personal, but the industry is lacking the right technology to achieve this. We help broadcasters learn what their audiences want on an individual basis and deliver the right content and advertising, giving them an unrivalled experience.”
Julian Dennard, Fund Principal with Mercia Fund Managers, said:
“The ability to personalise data has been a major factor in the success of tech giants like Amazon and Google. Covatic’s platform allows broadcasters to tailor their content to individual consumer needs and this funding will allow the company to begin tapping into a huge potential market.”
Grant Peggie, Director, Venture Solutions at the British Business Bank, commented:
“The Midlands Engine Investment Fund was set up to support innovative and growing businesses across the region. This investment in Covatic is a great example of what can be achieved when the MEIF collaborates with other funders to support Midlands-based businesses and further demonstrates the area’s strength globally in digital technologies”
Pat Hanlon, Greater Birmingham & Solihull Local Enterprise Partnership’s (GBSLEP) Board Director for Access to Finance, said:
‘’MEIF’s funding for Covatic will be instrumental in helping the firm to create highly skilled jobs, whilst bringing its software to market and gaining new clients. The region’s tech sector is stronger than ever, highlighting the importance of investing in digital companies with significant growth potential. Supporting Covatic demonstrates our commitment to growing economic opportunities, creating private sector jobs and helping companies in the tech and digital industry.’’
The Midlands Engine Investment Fund project is supported financially by the European Union using funding from the European Regional Development Fund (ERDF) as part of the European Structural and Investment Funds Growth Programme 2014-2020 and the European Investment Bank.