Modern Media Acquisition Corp. Merges With Akazoo Ltd.

Lew Dickey

MODERN MEDIA ACQUISITION CORP. (MMDM), a special purpose company under MODERN MEDIA, LLC, jointly owned by Chairman/CEO LEW DICKEY and MACQUARIE CAPITAL, has merged with U.K. digital music streaming platform AKAZOO LTD. to create a company valued at around $469 million. Based in LUXEMBOURG, the new holding company, called HOLDCO, will be listed as "SONG" on the NASDAQ Stock Market.

AKAZOO is a music streaming service focusing on emerging markets with 4.3 million premium subscribers in 25 countries throughout EUROPE, SOUTH EAST ASIA, SOUTH AMERICA and AFRICA. The merged entity will be led by AKAZOO Founder/CEO APOSTOLOS N. ZERVOS, with LEW DICKEY serving as Chairman.

“We are excited to enter into this transaction with AKAZOO," LEW DICKEY said. "It’s a terrific company with strong management led by Founder/CEO APOSTOLOS ZERVOS. As one of the pioneering companies in the space, they have spent the last decade building a profitable business model with a strong competitive moat in emerging markets. Music streaming is one of the best secular growth stories in global media and entertainment, and AKAZOO is a top global platform that we expect will benefit tremendously from an infusion of growth equity and a public currency to participate in further industry consolidation.”

“This transaction marks the beginning of a new phase of growth for AKAZOO," ZERVOS said. "Our goal has always been to provide our customers with the most relevant and engaging user experience through deep knowledge of local tastes and an expansive library of music content. We have successfully executed on this mission since our inception in 2010 and have done so while obtaining profitability. We are now serving over 4.3 million premium subscribers, and, as we look to our next phase of growth, we could not be happier to partner with LEW and MMDM. As our Chairman, LEW will bring extensive media industry, public company and M&A experience to the AKAZOO team. With a public currency and an infusion of capital, Akazoo will be positioned to expand more rapidly and efficiently than ever before.”

“The announced transaction between AKAZOO and MMDM is an exciting opportunity for shareholders and customers," MACQUARIE CAPITAL Head of Technology, Media & Telecom – AMERICAS, EUROPE & ASIA DAVID DORFMAN said. "AKAZOO is a fast-growing and profitable business that is poised to benefit from the continued adoption of music streaming across mobile devices. We believe the proposed transaction will enable the company to continue to build on its presence in 25 countries and growing.”

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