Zealot Networks Acquires Stake In AudioMicro (AdRev)
Zealot Now Majority Owner of #2 Fastest-Growing Media Company
LOS ANGELES – December 17, 2014 – Zealot Networks, a digital-first media company and growth accelerator that empowers creative entrepreneurs by delivering multi-platform revenue, distribution and development opportunities, announced today its acquired a majority stake in AudioMicro, Inc., parent company of AdRev. Terms of the transaction were not disclosed.
AdRev operates platforms for the distribution, licensing, monetization and administration of music, videos and photos. The transaction includes DashGo, recently acquired by AdRev, which allows labels and publishers to distribute, promote, market and license music across digital retailers, subscription services and Internet radio. AdRev annually pays out more than $10 million in royalties to its partners and recently ranked as the #2 fastest-growing media company in the U.S. based on actual revenue growth over the past three years.
“We’re building an innovative business model for a new media company – thinking about it from the digital point of view. Nothing we’re doing is bound by traditional models,” said Danny Zappin, president and CEO of Zealot. “AdRev has created a whole new model for monetizing music, video and photo rights and will support Zealot as part of an infrastructure for managing a multi–vertical, multi-platform network on YouTube and beyond. The company will be at the core of our Music + Entertainment ecosystem.”
“Partnering with Danny, an industry pioneer with vision and proven execution, means further expansion and growth for our company,” said Ryan Born, founder and CEO of AdRev. “Expect us to continue to provide industry-leading rights management products and services as we bring new monetization opportunities to our clients and rights holders.”
As part of the transaction, Zappin joins AdRev’s board of directors. Born retains his position as AdRev’s CEO and continues to run day-to-day operations while expanding the company’s monetization offerings. DH Capital served as advisor in this deal.
About Zealot Networks, Inc.:
Zealot Networks, Inc. is a digital-first media company and growth accelerator that empowers creative entrepreneurs and talent, delivering multi-platform revenue, distribution and growth opportunities. The company is poised to lead the next chapter in the ongoing evolution of digital media with its new holistic approach to connecting entrepreneurs with brands and like-minded communities based on transparency, ingenuity and experience. Zealot is a privately funded company led by a well-rounded, talented team who share the same values and vision: Co-founded by President and CEO Danny Zappin; CFO Bob Vanech; CSO Conn Fishburn and CMO Chad Seymour. For more information, please visit www.zealotnetworks.com.
About AdRev (AudioMicro, Inc.):
AudioMicro, Inc. operates four content licensing brands – AdRev, AudioMicro, DashGo and ImageCollect. AdRev is the leading YouTube music licensing and administration platform, currently representing over 6 million music copyrights that collectively generate 2.9 billion views per month across more than 27.5 million YouTube videos. AudioMicro issues blanket micro synchronization licenses for music usage to YouTube’s biggest MCN’s, including 150,000+ individual YouTube channels. DashGo distributes music into digital retailers, including iTunes, Spotify, Amazon, Google Play and YouTube Music Key. From its archive of over 6.5 million images, ImageCollect licenses celebrity stock photography to editorial news outlets and publications. Based on its actual three year revenue growth, the company ranked #2 on Inc. Magazine’s 2014 listing of the USA’s Fastest-Growing Media Companies, #6 on the Los Angeles Business Journal’s list of LA’s Fastest-Growing Companies and #29 on Deloitte’s Technology Fast 500.
Ivy Mollenkamp/Wendy Zaas
Rogers & Cowan on behalf of Zealot Networks