PebblePost, the marketing tech company, just expanded its Series B round to $47 million through a combination of equity and debt funding.
The sum includes $20 million in equity capital from institutional investors and industry angels back in February, along with $27 million in term loans and secured credit. Pursuing a debt financing round to close their Series B was a strategic move on PebblePost's part, according to CEO Lewis Gersh.
“In terms of adding debt to the equity financing, debt is an inexpensive option that provides us with access to capital so we can cover the financial requirements of our growth and marketer demand for our solution,” he said.
With adtech funding at a five-year low, Gersh felt PebblePost’s most recent non-VC funding approach was the right choice.
“We believe that this funding signifies a contrarian market,” he said. “Traditional adtech and digital adtech channels are not getting a lot of funding at this time, with so many marketers decrying the state of digital advertising and issues like viewability, fraud, brand safety, ad blocking and low ROI — all issues which our Programmatic Direct Mail solution solves.”
The company raised $6.5 million in a Series A funding round led by ff Venture Capital, Tribeca Venture Partners and Greycroft Partners in May 2016. It continues to grow, and plans on using the latest funds to accelerate its offerings.
“The funds will provide flexibility to PebblePost’s working capital as we continue to enhance our technology, expand to new markets and meet the demands of our current brands,” said Gersh.
Image via Shutterstock.
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