Australia’s Vinyl Group Acquires Rolling Stone & Variety Australia Publisher The Brag Media

Australia’s Vinyl Group has actually gotten Rolling Stone and Variety’s Australian publisher, The Brag Media, following a 2nd round of financial investment from WiseTech Global’s Richard White.

Vinyl Group, the only music business noted on the Australian stock market (ASX: VNL), has actually revealed participating in a contract to totally obtain Australia’s The Brag Media, publisher of Rolling Stone and Variety in Australia and New Zealand. The group likewise revealed a 2nd round of financial investment by WiseTech Global CEO and Founder, Richard White, with an $11 million positioning and financial obligation center.

The Brag Media releases its owned outlets, TheBrag.com, The Music Network, and Tone Deaf, in addition to Penske Media Corporation (PMC) outlets Rolling Stone and Variety in Australia and New Zealand.

It likewise solely represents regional digital audiences for over a lots other titles, such as HypeBeast, Billboard, The Hollywood Reporter, Music Feeds, ComingSoon, Rotten Tomatoes, Game Revolution, and IndieWire. The Brag Media’s network of brand names reaches around 10 million users monthly in the area, with over 40 million month-to-month page views.

Vinyl Group will pay $8 million in money to obtain 100% of The Brag Media and its subsidiaries, with another $2 million payable in money or stock based upon monetary efficiency. Unaudited Financial Year 2023 results report The Brag Media created $8.39 million in earnings, consisting of $334,824 in net earnings. In all, it has actually seen a typical income development of 125% over the previous 2 fiscal years.

The purchase will be moneyed with a brand-new $11 million positioning and financial obligation center from Vinyl Group financier Richard White, developed to sustain the business’s future development. That financial investment will be made from his RealWise Group Holdings P&L, and follows his formerly revealed financial investment in June.

As part of the offer, The Brag Media CEO Luke Girgis has actually participated in a full-time work contract with the business, as Publisher and Managing Director of The Brag Media. Girgis will get 5 million choices upon sale conclusion, vesting in 2 equivalent tranches. The very first tranche vests upon accomplishing particular earnings and EBIT targets for 2024 and a minimum of one year of work post-sale. The second will vest on the 2nd anniversary of the sale conclusion.

“The next stage in the advancement of The Brag Media will occur under the umbrella of Australia’s only ASX-listed music company, and I could not be better about it,” stated Girgis. “Right from the earliest conversations we had, it was clear that the Board, Josh, and the group shared our vision for the future of business, and I’m delighted that they’ve made this dedication with us.”

“I ‘d likewise like to acknowledge my co-founder and Managing Director, Sam Benjamin. This service would not have actually reached the heights that it has without Sam’s financial investment, assistance, management, and mentorship over the previous 6 years.”

“Vinyl Group’s suite of items collaborate to empower individuals of the music community and reach all corner of the developer economy, and we can’t wait to begin dealing with the renowned mastheads that Luke and The Brag Media have actually effectively established in Australia,” includes Vinyl Group CEO Josh Simons.

“We’ve determined a number of impactful synergies in between the 2 companies that will provide instant expense performances and earnings, consisting of improving Vampr’s in-app advertisements company and leveraging The Brag Media’s excellent audience reach to boost JaxstaVinyl.com, and Vampr in the market.”

“I have actually seen carefully as Josh has actually developed Vinyl Group’s earnings and made considerable service gains considering that taking my preliminary financial investment. I’ve likewise kept in mind that Luke and his devoted group at The Brag Media have actually quickly grown Brag into among Australia’s the majority of prominent media and innovative organizations,” concludes Richard White, CEO and Founder of WiseTech Global.

“There’s no doubt that renowned brand names like Rolling Stone and Variety make good sense and include worth to VNL. Integrated under the management of Josh and Vinyl Group, the combined service and group will have a lot more development levers and choices.”