A few months after raising $22 million in new funding, children’s information platform Yoto announced that it has received $15 million in financing from HSBC UK.
UK-based Yoto said the new funding will free up working capital for the company to enable expansion into new markets. Yoto currently operates in the US, UK, Canada, Australia and New Zealand markets, as well as Singapore and Hong Kong.
The company expects export volumes to increase “nearly 100%New funding from HSBC UK’s Growth Loan Fund has doubled the company’s revenue.
“This funding provides a huge leverage point for our rapid growth. We aspire to be truly global – supporting more communities around the world, delivering high-quality, kid-focused audio content and nurturing the creativity of young listeners and independence,” Ben Averis said in a statement.
“We were provided with various financing opportunities and are delighted to have chosen to work with HSBC UK. The bank’s strong trading links will help us scale up our production and provide greater value to our customers.
A Yoto player is a speaker that uses a physical card (called a Yoto card) to play audio content (such as a set of songs, albums, or audiobooks).
“This funding provides us with a huge leverage point for our rapid growth. We have ambitions to become truly global…”
ben everis, jotto
Ben Drury and thinker philip Yoto was founded in 2017 to develop a device that would allow kids to access music and audio without being exposed to ads, inappropriate content or screen time.
The first model of the Yoto player, crowdfunded at Crowdfundingsold out in 2019.
The company describes itself as “inspired by Montessori values that emphasize children learning independently through products built for them, no screens, no microphones, no ads.”
In recent years, Yoto has signed licensing deals with major record labels, including universal music groupwith the queen Featured Collection Vol. 1 Becoming the first album released on Yoto under this partnership.
Yoto also works with Warner Music Groupincluding WMG’s selection of kid-friendly pop, rock and soul artists, which became available on the platform last year.
Yoto says it has built more than 1,200 people Yoto Cards include content from partners including disney, Penguin Random Houseand portmore.
Earlier this year, Yoto received $22 million This round of financing, half of which comes from Chan Zuckerberg Initiativeis a philanthropic investment fund, consisting of Mark Zuckerberg and his wife, Priscilla Chan.
As part of this investment, Wu WeiweiThe fund’s managing partner has reportedly joined Yoto’s board of directors.
“Yoto is a fast-growing company whose innovative products are popular in international markets,” said Aman NirwalDirector of HSBC UK.
“We are pleased to support Yoto’s strategic growth plans and excited to see the business continue to succeed and reach more families around the world.”global music business
