AudioValley Announces the Launch of a Capital Increase of Approximately €8 Million to Accelerate Its International Expansion
AudioValley (Paris:ALAVY) (Brussels:ALAVY), an international specialist in B2B solutions in digital audio, (ISIN code: BE0974334667 / mnemonic: ALAVY), is launching a capital increase with qualified investors by issuing new ordinary shares with no preferential right for existing shareholders.
The capital increase will be formally decided by AudioValley’s Board of Directors, acting in connection with its authorized capital powers as renewed and extended by a decision of the extraordinary general meeting of shareholders of 15 February 2021, on 12 April 2021.
The funds raised through this capital increase will make it possible to:
- support the international expansion of AudioValley, which recently signed several partnerships with leading players. Since the beginning of the year, an agreement with Bauer Media has made it possible, for example, to market Targetspot’s inventory in Sweden, Denmark, Finland and Norway (press release of 11 March 2021). In 2020, Targetspot also entered into agreements with Sonos, Stingray, TuneIn and Radio France. Once all these contracts become 100% operational, their impact could represent an overall amount of more than €10 m of the Group’s annual revenue.
- support the commercial launch of Jamendo Rights Management, the new business activity dedicated to the collective management of music rights, which will enable Jamendo to expand its scope in terms of managing and monetizing rights on behalf of the 45,000 artists on the platform. The liberalization of collective copyright management in Europe opens up huge growth opportunities for Jamendo, which acquired Independent Management Entity (IME) status in February 2019. The weight of this market in Europe is estimated at around 10 billion euros in revenue per year. The first revenue from the deployment of Jamendo Rights Management is expected in 2021.
The transaction (the “Transaction”) will be carried out exclusively with qualified investors (within the meaning of Article 2(e) of Regulation (EU) 2017/1129 of the European Parliament and of the Council of 14 June 2017 on the prospectus to be published when securities are offered to the public or admitted to trading on a regulated market, and repealing Directive 2003/71/EC, as amended).