Online map marketing company LocationInsight (LI) has raised a $5m venture round with publishing group United Communications Group (UCG) as the sole participant.
At the same time, Denver-based LI also announced completion of a management buy-out of the LocationInsight local search marketing business from cloud-based sales management company InfoNow Corporation. LI used the funds raised from UCG to fund the buy-out.
LI provides local search marketing software and services to advertisers with multiple locations. Its technology is used to improve the search results and ranks of their customers.
“We are thrilled to be joining the UCG family,” said LI CEO Ari Kaufman in a statement. “We had interest from more than a dozen financial partners and we selected UCG because they bring a lot more than money to the table. They are strategic partners with the proven track record of building successful companies on solid foundations.”
He added: “The UCG leadership and the services that they have to offer LI will provide the company with valuable support both during the spin-off and as the company grows and expands. There is great synergy between the teams. We’ve worked for three years to get here and we are excited to finally be leaping off the launch pad.”
UCG CEO Todd Foreman added, “When Ari came to us, we quickly realized this was a rare opportunity to back a business that was ideally positioned for growth, and was led by an accomplished, seasoned and energetic management team. We are excited to be partnering with Ari and his team and will bring to them our decades of experience in business information and software to help them accelerate growth.”