Software company Zenterio, which has created an operating system for digital TV boxes, has raised €8.6 million (85 million SEK) in additional funding from undisclosed investors.
The funds will go toward continuing current operations for the business which reported a loss equivalent to nearly €30 million over the last three years. The company, which had previously raised more than €20 million, needed to raise additional funds to stay afloat.
Zenterio said it initially sought to raise about €5 million, but that the round was oversubscribed, allowing it to raise more.
A year ago, the company backed out of its IPO at the last moment, in part due to its large losses.
During the second quarter of 2016, Zenterio reported considerably better results with EBITDA equal to about €630,000.
"Unfortunately I can not give any forecasts about the future. What I can say is that we are seeing generally positive developments, both in terms of turnover and profitability," said Steven Moodie, the company's CFO, in an interview with Swedish publication Breakit.
Breakit estimated that Zenterio's valuation has dropped to about €30.5 million, about a third of what it was a year ago.
Zenterio OS provides an independent operating system for interactive TV. The platform separates software from hardware, giving users the ability to combine live and on-demand content together with a broad range of interactive services.
"We deliver an independent software solution for operators that works regardless of the hardware solution or whether the equipment is new or old. It also works with OTT solutions (TV broadcasts distributed via the Internet) and with phones and tablets" the company's VP of product management, Marco Frattolin told Breakit.
Zenterio's largest shareholder is security intermediary DNB Verdipapirservice, followed by private equity firm Scope and private investor Adam Nordin. Bonnier's CEO Thomas Franzen and former Nokia CEO Olli-Pekka Kallasvuo sit on Zenterio's board.
Read more: Breakit (in Swedish)