Swedish Startup Space

Magine closes a $19m Series A to expand into Europe

Written by on July 3, 2013

Magine – the cloud-based TV service that describes itself as ‘TV as it should be’ have just announced they have raised a Series A round of $19m from a group of both Swedish and international investors.

We wrote about Magine back in March and were quite impressed with the beta. In an industry that is notoriously hard to innovate in – Magine have so far managed to win over many of the incumbents due to the fact that Magine does not disrupt their existing business – they simply bring it into the digital era. If Magine can bring more people ‘back to linear-TV’ – the broadcasters will be pretty happy to embrace Magine.

Magine have been successful so far in that they’ve managed to sign deals with Discovery, CNN, BBC, Nat Geo and of course SVT and TV4. If they can create similar partnerships in new markets – they will certainly have the critical mass of content needed to attract viewers.

They do have a long way to go, but this injection of capital is going to be used to move into the German and Spanish markets – something that will be crucial to their success.

Magine Chairman Michael Werner says, “Magine is not just another TV platform, but a totally new way of accessing and consuming content. It is a subscription service that was devised to make viewers come back to watching TV and this is why broadcasters and content providers are very keen to adopt the service. Magine helps them create new forms of monetizing whilst respecting the current rights chain.  Our investors recognized immediately that the huge potential for content discovery and social interaction among viewers thus generating new revenue streams”.

 

  • Company
  • Swedish Grimlock

    Sweden is a fantastic country where most information is easy to find. After a few minutes of digging Swedish Grimlock finds interesting facts about spectacular A-round

    * The round was initially 120 msek at a 480 msek pre-money valuation with puts the post-money valuation of the company at 600 msek. The round was done with a new class of preference shares.

    * No wonder European (or US) VC turned that down… For example Spotify was valued well below 100 msek when Northzone/Creandum entered in the Series A.

    * Magine took the route of going for angel money. The biggest investor in the round was Alejandro Pedro Bulgheroni, the richest man in Argentina. Another participant in the round was Ole Salsten famous for cashing out big time on private school chain “Baggium”.

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