Jason Peterson, the CEO of GoDigital Media Group (GDMG), recently told MBW that his company had seen revenues increase 10-times in just four years – and that it had a “tremendous pipeline” of acquisitions coming round the corner.
Today (September 13), one of those acquisitions hits music industry headlines: Los Angeles-headquartered GDMG has teamed with MEP Capital to acquire Sound Royalties, the music financing platform that pays out advances to artists and rights-holders based on predicted future royalty income.
Peterson didn’t disclose the price of the deal but confirmed it was a “high eight-figure purchase” – i.e. tens of millions of dollars – backed by funding from MEP.
Sound Royalties, which has worked with the likes of DJ Khaled, Lil Wayne, Pitbull, and Wyclef Jean, joins a portfolio of companies at GDMG that also includes Jason Peterson
“Our mission at GoDigital is to inspire happiness through sharing creativity,” said Peterson. “Sound Royalties is a logical investment for GDMG and MEP, considering how the company and the team are perfectly aligned with our thesis that music rights are the best alternative investment in the creative industries right now.
“Artists, songwriters, and producers are all businesses and, like businesses in any other industry, need to be able to access capital to grow. Sound Royalties provides a much-needed solution to the music industry for creators and rights holders who are looking for financing but who do not want to sell their rights perpetually.
“The service allows creators to concentrate on what they do best: make music. We are also pleased to say that the current leadership team will stay on and representatives from GDMG and MEP will be joining the Board.”
Alex Heiche, Sound Royalties CEO said: “Sound Royalties was founded on the principle of protecting creators’ rights and providing individualized customer centric solutions.
“We’re excited to be joining the GoDigital family, which will enable us to expand our technology platform and grow more rapidly,…
Read More: Cinq Music parent GoDigital acquires Sound Royalties in ‘high eight-figure’