Media company Content Central offers an online service that connects journalists and editors for the sale and distribution of articles and news. Now the company has raised 8.7 MSEK from investors.
Since the autumn of 2014, Content Central has helped media houses and freelance journalists in Sweden sell and distribute editorial content. Over 3,000 freelance journalists, writers and photographers are connected to the service and have uploaded thousands of articles, crosswords and images for sale.
Operations are run through the company Syndigate AB, which has now raised 8.7 MSEK in venture capital. Fort Knox and Partnerinvest Norr have contributed 7 MSEK through a new share issue. In addition, the Silicon Valley based VC company 500 Startups has converted a previously provided convertible loan of 1.7 MSEK to shares.
"We are very pleased to finish this round, which we have been working on for about ten months. Getting Fort Knox and Partnerinvest on board as local investors is great. They have financial muscle, good skills and important contact networks, but most importantly we will be able to work closely with each other, which is important in the phase we are in. In addition, it feels really exciting to add 500 Startups to our ownership circle, which can give us valuable connections internationally", says Joachim Ljungquist, founder and CEO.
The media industry is undergoing considerable restructuring, with more than 50 percent of the world's journalists now working on a freelance basis. Content Central is a platform that simplifies distribution, rights and payment of editorial content.
"We have had a dialogue about an investment in Content Central for a long time, and it's great to be able to move forward. The company has an interesting business solution, which can be an important piece of the puzzle in the media industry's transformation right now. In addition, platform economy is becoming an increasingly important business model", says Henrik Wimelius, Investment Manager for Digital Business Concept at Fort Knox.
Right now, the next generation of the online platform is under development, using brand new technology – and preparations are in full swing for a UK launch.
"I have had the privilege of following the company since its inception and I can really see the potential of launching on the English-speaking market, which is bigger than the Swedish one. Because of Content Central's international ambition, we want to be a part of their journey", says Lena Fridlund Forsgren, Investment Manager at Partnerinvest Norr.
The investment will be used to increase resources for the development team and for launching in new markets. This spring, the company has grown from four to eight employees.