Stingray buys Israeli co Yokee Music for $40m

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deal merger picture: photo to go

Yokee has developed three highly popular social music apps.

Canadian business-to-business multiplatform music provider Stingray Digital Group Inc. has acquired Israel-based Yokee Music Ltd.. Yokee provider of three social music apps regularly ranked in the music category's top 10 in 100 countries: Yokee, Yokee Guitar, and Yokee Piano. Together, the apps have reached over 80 million downloads in four years and have gained 4 million monthly users, with over 50% year-over-year growth.

No financial details about the detail were disclosed but Israeli media reports suggest the acquisition was for $30-40 million. Founded in 2013 by Gil Selka and Ariel Yaloz, Yokee has raised only $1.3 million from 2B Angels and other private investors.

Yokee Music's flagship karaoke app, allows users to creatively express themselves and share their love of music with family and friends. Yokee complements Stingray's existing karaoke services, Stingray Karaoke and The KARAOKE Channel, thus opening the door to powerful content synergy opportunities and growth for the karaoke product line.

Yokee transforms mobile phones and tablets into wireless karaoke machines (camera and microphones included). Yokee empowers users to record, add audio and video effects, share their versions of their favorite songs, and listen to their friends' performances. Yokee Piano offers music fans the opportunity to play the world's favorite piano tunes like pros in a matter of seconds. Yokee Guitar lets mobile users play timeless guitar classics and popular radio hits.

Stingray cofounder and CEO Eric Boyko said, "This acquisition is highly complementary to our business and significantly expands our reach in the B2C mobile app market."

Yaloz said, "Yokee Music has been a labour of love in which we poured all our expertise, passion, and energy over the past years. Joining forces with Stingray is a natural extension of the growth strategy we have been pursuing since our launch and will provide us with exciting opportunities as part of a larger, more diversified company. Working together, I am confident that we will foster even greater success and innovation in the mobile app market."

Published by Globes [online], Israel business news - www.globes-online.com - on May 9, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

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