Stockholm-based Phyron, an AI-powered content creation platform for car dealers, has closed a €10M Series B funding round.
Based in London and Vienna, Round2 Capital led the investment in Phyron, contributing additional revenue-based financing and equity investment. Existing investors and automotive retail giant Peter Vardy also participated in the round.
Jan Hillered, co-founder and managing partner of Round2 Capital, says, “Since we met the Phyron team and decided to make our first investment, the company’s development has been very positive.”
“We value the relationship we have built and look forward to supporting the next phase of the company’s growth. We believe that Phyron is planning the right next steps to take advantage of opportunities in a dynamic market environment.”
Scale your automotive ads with AI
Founded in 2019, Phyron’s AI-based software enables the automated generation of product videos, helping customers achieve faster sales and reduced content creation costs.
Using AI, Phyron’s software identifies the best selling points of each car, combining still images from a data feed, facts and figures about the car, brand imagery, and retailer services into relevant, effective videos.
Phyron elevates a dealer’s car-buying funnel with automated videos and enhanced stills for less than the cost of a coffee per car. Since January 2021, its customers’ car videos have been viewed over 250 million times.
Currently with over 3,000 car dealers as customers, Phyron continues to expand its reach. Last month, the company established new offices in Brighton, UK, in addition to its existing HQ in Stockholm, Sweden.
Capital utilisation
The funds will enable Phyron to accelerate the development of its AI and automation technology, grow its team with “top” industry talent, and expand its operations into new markets, specifically targeting the US.
Johan Sundstrand, co-founder and CEO of Phyron, says, “We want AI and automation to be the go-to marketing tool for automotive retail. This new funding means that we can invest more in our technology and grow our team in core areas, with a view to improving the AI experience
for everyone.”
“We’re very excited to continue our relationship with Round2 and to be working with Peter Vardy, who, in addition to decades of automotive retail experience in the UK, has a keen passion for emerging technology.”
Brief about Round2 Capital
Round2 Capital is a pan-European investment firm with €180M under management. Founded in 2017, the firm specialises in supporting digital and sustainable businesses through revenue-based finance and growth equity investments across Europe.
To date, Round2 Capital has backed 36 different software and technology scale-ups across 9 jurisdictions. The firm is supported by the European Investment Fund (EIF) to bolster technology companies within the European Union.
Specifically, Round2 Capital Partners II receives backing from the “Mezzanin Dachfonds für Deutschland Fazilität 2”, managed by EIF for ERP Sondervermögen, represented by the German Federal Ministry for Economic Affairs and Energy, LfA-Gesellschaft für Vermögensverwaltung mbH, and NRW.Bank Anstalt des öffentlichen Rechts.
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