7digital Completes Acquisition of Snowite
London, UK, 8 April 2016, 7digital, a leading B2B digital music and radio services company, is pleased to announce that it has completed the acquisition of the leading French digital streaming music provider Snowite SAS, originally announced on 6 January 2016.
Snowite’s client list includes a number of major French retail chains and brands and the company comes to 7digital with a strong sales pipeline across French-speaking markets. The acquisition is expected to increase 7digital’s annual turnover by at least £1.2m through Snowite’s annualised monthly recurring revenues of approximately £864,000. The deal will accelerate 7digital’s profitability and bring various levels of automation to their content management platform.
As a part of the acquisition, the Snowite brand will be incorporated into 7digital and all new activity will be under the 7digital brand. Technology and platform integrations are well underway and will bring increased efficiencies and economies of scale in the coming months.
Simon Cole, CEO of 7digital, commented:
“We are delighted to welcome the Snowite team to the Group. With major French customers in the retail, mobile entertainment and media sectors and a strong sales pipeline in French-speaking markets, Snowite will accelerate 7digital’s international expansion while strengthening our relationships with French music labels and publishers. Snowite’s platform and technology should also benefit our development roadmap and allow the company to make cost savings in planned future platform investment. Our teams have already been working well together, winning business and speeding through our platform integration even whilst the deal was awaiting completion. We predicted consolidation in the digital B2B music services space and we are delighted to be leading such a strategic union of two like-minded and compatible companies.”
Laurent Bouquet Des Chaux, Founder of Snowite, commented:
“We are proud to join the 7digital team - this is a real opportunity for Snowite to apply all its know-how to larger projects and move forward with greater ambition. Our teams are already working together on a development roadmap, which will strengthen the 7digital offering in significant ways. Our strategic role in the French-speaking market (including African territories) will benefit 7digital and its team. We now have the network and the talent needed to design the digital B2B music services that will develop the global digital streaming market. It is exciting to see two ambitious and dynamic companies come together to achieve this.”
7digital also recently announced its preliminary results for the year ended 31 December 2015, which reports strong operational and financial performance. With high-margin licensing growing revenues by 21% to £6.5m, total annualised monthly recurring revenue up 72%, and annualised monthly recurring revenues associated with streaming up 310% to £3.4m, the company shows signs that it will be profitable by the end of 2016.
To read the release in French please follow this link.
About 7digital (http://about.7digital.com)
7digital is a B2B digital music and radio services company. The core of its business is the provision of robust and scalable technical infrastructure and extensive global music rights used to create music streaming and radio services for a diverse range of customers – including consumer brands, mobile carriers, broadcasters, automotive systems, record labels and retailers. 7digital also offers radio production and music curation services, editorial strategy and content management expertise.
7digital fosters industry growth and innovation by simplifying access to music for clients such as Onkyo, Guvera, Global Radio and The Overflow. From years of being the largest independent producer of programming for the BBC, launching Radioplayer in multiple territories, and powering services for partners like HMV, Panasonic and ROK Mobile, 7digital is perfectly positioned to lead innovation at the intersection of digital music and next-generation radio services.