Join our daily newsletter At The Bell to receive exclusive market insights
- Jaxsta (JXT) is set to acquire Vampr, a social networking platform for music creators
- Under the deal, Jaxsta will take full control of Vampr in exchange for 88.7 million JXT shares, giving the sellers 19.99 per cent ownership of the ASX-listed business
- Vampr has a user base of 1.3 million, which grew 23 per cent in the last year and is expected to drive growth in Jaxsta subscriptions
- Josh Simons, a former recording artist and the founder and CEO of Vampr, will join Jaxsta as Chief Strategy Officer
- Jaxsta shares are up 10.42 per cent to 5.3 cents at 11:36 am AEDT
Music credits database Jaxsta (JXT) is set to acquire Vampr, a social networking platform for music creators.
This acquisition is part of Jaxsta’s growth strategy, giving the company access to Vampr’s 1.3 million users, and it marks a big step towards Jaxta’s launch of vinyl.com. Vampr’s use base grew by 23 per cent in the last year.
Under today’s deal, Jaxsta will take full control of Vampr in exchange for 88.7 million JXT shares, giving the sellers 19.99 per cent ownership of the ASX-listed business.
Jaxta will also pay up to US$250,000 (AS$365,000) and any accrued interest within one year of completion to extinguish a short-term loan facility provided to Vampr by a Vampr director.
Josh Simons, a former recording artist and the founder and CEO of Vampr, will join Jaxsta as Chief Strategy Officer.
Jaxta CEO Beth Appleton said she believed the combined Jaxta-Vampr business would be an “exceptional” music tech company.
“The acquisition of Vampr represents a rare opportunity to accelerate our B2C expansion through the launch of our e-commerce platform, vinyl.com,” Ms Appleton said.
JXT’s board of directors will seek shareholder approval on this acquisition in April 2023.
Jaxsta shares were up 10.42 per cent to 5.3 cents at 11:36 am AEDT.
