Mobile adtech firm IronSource raises $400m and surpasses $1bn valuation

4 Oct 2019

A child playing a mobile game. Image: © New Africa/

The Israeli adtech company is aiming to be the ‘go-to partner for any game developer looking to scale their business’.

On Thursday (3 October), it was reported that private equity firm CVC is taking a minority stake in mobile adtech start-up IronSource, investing more than $400m in the company and bringing its valuation to more than $1bn.

Investment giant CVC, which was established in 1981 and currently has $82.5bn of assets under management, said that the partnership reflects a shared long-term vision with IronSource.

Tomer Bar-Zeev, CEO and co-founder of the Israeli adtech company, said: “As one of the world’s most respected private equity firms, CVC has a track record of successfully partnering with companies to drive growth.

“As such, they are the perfect partner for this next phase in our journey, as we continue to scale internationally, engage with A-class partners and invest heavily in building out our offering for game developers.”

IronSource was set up in 2009. The company says that it has been profitable from early on and is on track to finish 2019 with approximately $1bn in revenue. The company works with a combination of customers including software, app and game developers, telecom operators and mobile device original equipment manufacturers (OEMs).

It focuses on developing technologies for app monetisation and distribution, with its core products targeting game developers.

Bar-Zeev said: “We’re witnessing the creation of a sector, gametech, which supports this growing ecosystem, with tailor-made tech solutions such as advertising, marketing, analytics, market intelligence, CRM and more.

“Our continued investment in this industry is part of a wider goal to be the go-to partner for any game developer looking to scale their game business.”

Aura growth

One of IronSource’s key growth drivers is Aura, the company’s solution for mobile carriers and device manufacturers. Aura provides an engagement and content distribution solution, enabling OEMs and telecoms operators to build ongoing relationships with their customers, with the aim of turning those customers into engaged users.

The tech is integrated into more than 120m mobile devices globally, according to the company, through partnerships with top telecoms operators in the US and international mobile OEMs.

Daniel Pindur, partner at CVC Capital Partners, said: “We are delighted to be partnering with such an innovative and exciting technology business.

“The investment in IronSource is a unique opportunity to support a well-respected, founder-led organisation to accelerate its growth. We look forward to working with Tomer Bar-Zeev and his team to take the company to the next level.”

Kelly Earley was a journalist with Silicon Republic