(Bloomberg) — GumGum Inc., a company that uses contextual intelligence rather than personal data to curate digital advertisements, is weighing an initial public offering as early as next year, according to people with knowledge of the matter.
The firm has discussed plans for a U.S. listing with potential underwriters, the people said. An IPO is expected to value GumGum at a premium to the private-market valuation of almost $700 million that it obtained in an April funding round, they said.
A representative for Santa Monica, California-based GumGum didn’t immediately reply to requests for comment.
Founded in 2008 and led by Chief Executive Officer Phil Schraeder, GumGum uses proprietary artificial-intelligence technology to scan images, text and videos with the goal of placing ads alongside relevant content. Other advertising-technology firms have facilitated the targeting of consumers based on personal data, a practice that has drawn regulatory scrutiny.
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GumGum investors include Goldman Sachs Growth and Morgan Stanley Expansion Capital, as well as Upfront Ventures and NewView Capital.
The firm, which processes 68 million digital images a month, has said it works with advertisers including Amazon.com Inc. and Unilever Plc, and media outlets such as the Daily Mail, Variety and TMZ. In August, GumGum announced it acquired JustPremium, a European media and video advertising marketplace.
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