MelodyVR raises $15.3m to help fund Napster acquisition
Posted on: 26 août 2020, by : Stuart Dredge

Yesterday we reported on MelodyVR’s planned acquisition of streaming service Napster for $26.3m in cash and stock, and wondered why the company was describing it as a $70m deal. A separate announcement from Napster’s majority owner RealNetworks cleared that up: the deal also saw MelodyVR assuming “approximately $44m in payment obligations, primarily to various music industry entities”.
The cash portion of the deal is $15m, and shortly after our story was published, MelodyVR raised $15.3m from a new share placement – it’s publicly listed on the London Stock Exchange’s AIM sub-market – to fund it. The acquisition is expected to be completed later this year.
MelodyVR boss Anthony Matchett talked to Rolling Stone yesterday about the company’s ambitions to combine livestreamed performances and a streaming music catalogue. “Historically, the major recorded music streamers aren’t content creators. They may get content from the record labels but they don’t create new content like we do,” he said. They may pay massive sums of money to broadcasters for exclusive rights to a show, but again that’s not their content. We come at this from a different angle.”
The post MelodyVR raises $15.3m to help fund Napster acquisition appeared first on Music Ally.
Source: Music ally

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