YCD Multimedia raises $8.5m in first round

The company develops solutions for managing and distributing media for businesses. Proceeds will be used to penetrate Western Europe and US markets.

YCD Multimedia today announced that it had raised $8.5 million in its first financing round. Pitango Venture Capital and European venture capital fund Arts Alliance led the round. Proceeds from the round are intended to speed up YCD’s penetration of the Western Europe and US markets, open local offices overseas, and expand the company’s basket of technological solutions.

YCD was founded in 1999 by CEO Noam Levavi and Danny Zeevi. So far, it has been financed by private investors, among them Eyal Waldman, a co-founder of Galileo Technology Ltd. and founder, chairman and CEO of Mellanox Technologies; and Brian Cooper, co-founder of Retalix (Nasdaq: RTLX; TASE: RTLX). YCD develops and markets solutions for managing and distributing media, including music, video, and advertising for the business sector.

YCD has partnership agreements with media services providers worldwide. Its customers include Israel Discount Bank (TASE: DSCT), Hilton Hotels (NYSE: HLT; HLN), Holmes Place Plc, Toyota Motor Company (NYSE: TM; LSE: TYT: TSE: 7203), and fashion company Giorgio Armani.

YCD already has revenue from some customers. In August 2005, the company announced a $2 million contract with the UK Toyota agency. It signed a similar sized contract with an Australian company four years ago.

Published by Globes [online], Israel business news - undefined - on March 19, 2006

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