Stingray Digital Group Inc, a Montreal-based business-to-business multiplatform music provider, has acquired Yokee Music Ltd, an Israeli provider of three popular social music apps. No financial terms were released.
Stingray said the deal will provide mobile app development and optimization expertise and expand its portfolio of consumer-facing products. Stingray raised $180 million in an initial public offering in 2015, and it continues to be a portfolio company of Caisse de dépôt et placement du Québec, Novacap, Telesystem and other investors.
Yokee’s three social music apps are 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 count 4 million monthly users, with over 50% year-over-year growth.
“Stingray and Yokee Music have been long-time friends and partners with a shared passion for connecting people through music,” said Eric Boyko, President, Co-founder and CEO of Stingray. “I could not be more pleased to officially welcome the Yokee Music team to the Stingray family. This acquisition is highly complementary to our business and significantly expands our reach in the B2C mobile app market.”
— STINGRAY MUSIC (@Stingray_Music) May 10, 2017
Yokee, 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 Music has been a labour of love in which we poured all our expertise, passion, and energy over the past years,” said Ariel Yaloz, Co-founder of Yokee Music. “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 will foster even greater success and innovation in the mobile app market.”
Under the terms of the agreement, Stingray will fully own and operate Yokee Music with the continued direction of the company’s current leadership.