Scott Meyer’s Better Advertising Raises $9.5 Million

Better Advertising, the behavioral ad regulation startup co-founded by former CEO Scott Meyer, has raised $9.5 million from private equity firm Warburg Pincus. Better Advertising’s platform lets online advertisers and publishers show that they are compliant with industry guidelines on behavioral ad targeting.

Advertisers who participate put an icon in their ads that users can click on in order to see the data that was used to target the ad and opt-out if they want to. The main ad industry associations gave the startup their official approval last month and the company’s platform is being used by AT&T (NYSE: T) among other big advertisers.

Earlier this year, Better Advertising bought up Ghostery, a browser plug-in that lets users see what ad networks, behavioral data providers and publishers are tracking their activity online and then block them. Better Advertising says it is using data generated from the plug-in to further develop its platform.

The company was already backed by Warburg Pincus, and Peter Kafka at AllThingsD says an unspecified amount of the total funding is not in fact new. Meyer, who is Better Advertising’s CEO, had joined Warburg Pincus as an entrepreneur in residence nearly three years ago and incubated Better Advertising during his time there.