×
You will be redirected back to your article in seconds

Music Choice Targeted in $120 Million Hostile Takeover Bid by Canada’s Stingray

Stingray Digital Group, a Canadian music and video content provider, announced an unsolicited offer to acquire rival Music Choice for $120 million.

A rep for Music Choice did not respond to a request for comment Friday.

Stingray said it has presented its bid to Music Choice’s management and has reached out to each of the company’s owners, which include: Comcast, Charter Communications, Cox Communications, Sony Corp. of America, AT&T’s WarnerMedia (the former Time Warner), EMI Music Publishing, Arris and Microsoft.

According to Stingray, its bid for Music Choice “has not yet been accepted and is currently under review by the unitholders.” Stingray said the offer remains on the table until Aug. 31.

First launched in 1991, Music Choice offers a lineup of 50 genre-themed audio channels, a video-on-demand music service, and apps. Its linear channels have been a mainstay on U.S. pay-TV services for years (in part, as a way for operators to pad their overall channel counts).

“We believe that our formal offer to purchase has strong merit and would bring a significant return on investment for Music Choice unitholders,” Eric Boyko, Stingray’s co-founder, president and CEO, said in a statement. “Music Choice would benefit greatly from joining forces with Stingray, given that we are well positioned to expand and build Music Choice’s product portfolio and distribution in the United States and around the world.”

Stingray said its bid includes “vendor-friendly terms and conditions (including limited representations, warranties, and indemnities) to facilitate and expedite acceptance of the offer.”

In 2016, Music Choice sued Stingray, alleging infringement of U.S. patents. Last fall, the U.S. Patent & Trademark Office initiated a review of the patents in question at Stingray’s request, which is seeking to have them invalidated.

Stingray is based in Montreal, Québec. The company produces and sells services including audio TV channels, premium TV channels, karaoke products, digital signage, in-store music and music apps. Stingray claims it reaches 400 million consumers in 156 countries and that its mobile apps have been downloaded over 90 million times.

More Digital

  • Hiccup (Jay Baruchel) and his Night

    ‘How to Train Your Dragon: The Hidden World’ Again Tops Studios’ TV Ad Spending

    In this week’s edition of the Variety Movie Commercial Tracker, powered by the TV ad measurement and attribution company iSpot.tv, DreamWorks Animation claims the top spot in spending for the second week in a row with “How to Train Your Dragon: The Hidden World.” Ads placed for the fantasy film had an estimated media value [...]

  • ‘Tomorrow and Thereafter,’ ‘Diane Has the

    MyFrenchFilmFestival Prizes ‘Tomorrow and Thereafter,’ ‘Diane Has the Right Shape’

    Actress-director Noémie Lvovsky’s “Tomorrow And Thereafter,” a heartfelt homage to the director’s own mother, and Fabien Gorgeart’s “Diane Has the Right Shape,” about one woman’s surrogate motherhood, both won big at the 2019 UniFrance MyFrenchFilmFestival which skewed female in its winners and viewership, making particularly notable inroads into South East Asia and Latin America. Opening [...]

  • soundcloud-logo

    SoundCloud Launches Tool to Distribute Music to Other Streaming Services

    SoundCloud today announced a new distribution tool that enables artists to distribute their music to other streaming services. The feature, currently in open beta the service’s Pro and Pro Unlimited platforms, means that artists can upload their music to SoundCloud competitors including Apple Music, Amazon Music, Spotify and Instagram. “Creators using the SoundCloud Premier distribution feature keep [...]

  • Alison Meyer - Whistle

    Whistle Taps Refinery29's Alison Meyer as VP of Marketing

    Whistle has hired Alison Meyer, previously with female-focused Refinery29, to head up brand-marketing solutions for the male-centric digital media player. As VP of marketing at New York-based Whistle, Meyer will lead partnership marketing for the company’s slate of original programming and branded content. She reports to Whistle president and COO Michael Cohen. Meyer’s appointment comes on [...]

  • Snapchat - NHL Highlights

    Snapchat Expands NHL Pact to Add Hockey Highlights, Curated Stories

    Snapchat is adding more action from the ice under a new multiyear deal with the National Hockey League. The NHL, in association with Disney Streaming Services, is delivering a new weekly highlights show on Snapchat recapping the top 10 plays of the previous week and will produce Curated Our Stories on the platform for select games [...]

  • Hulu Adds Another Interactive Ad: This

    Hulu Adds Another Interactive Ad: This One Lets You Get Offers Via Email

    Hulu lets its subscribers choose the show they want to see. Now the video-streaming service is increasingly letting users choose to respond to certain commercials right away. A commercial from Sleep Number, the manufacturer of the bed with an adjustable mattress, that has run on Hulu for the past several weeks allows viewers to request [...]

More From Our Brands

Access exclusive content