LiveXLive Completes Acquisition of E-Commerce Merchandise Company, Custom Personalization Solutions (CPS)

LOS ANGELES, December 24, 2020 /PRNewswire/ — LiveXLive Media (Nasdaq: LIVX) (“LiveXLive”), a global platform for live and on-demand music, comedy and pop culture audio, video and podcast content, and owner of Podcast One, lazy radio and React present, today announced that it has completed the acquisition of Custom Personalization Solutions, LLC (“CPS”) in an all-stock transaction. The transaction is valued at approximately $12 million based on LiveXLive’s closing share price on December 22, 2020, subject to working capital and other adjustments.

CPS will operate as a wholly owned subsidiary of LiveXLive. The acquisition is expected to be immediately equity accretive and earnings additive and includes approximately $5.2 million estimated working capital. The agreement further diversifies LiveXLive’s business model in the global licensed products market, which is expected to reach 400 billion dollars by 2023.

“The acquisition of CPS is an ideal complement to our flywheel business model and presents a significant opportunity to leverage our audience, platform and relationships with artists and the entertainment industry to add income from trade and specialty consumer products,” said Robert Ellin, CEO and President of LiveXLive. “By integrating specialty products into our stack of music, podcasts and original content, we can offer superfans unique and personalized products from their favorite artists, shows and events.”

Following the acquisition of CPS, LiveXLive intends to increase the revenue reach of its current partners and talent pool across all of its subsidiaries to target super fans and partner with other artists. and music, podcast and entertainment industry stars who have huge social media and marketing, to create and distribute unique and limited-edition personalized clothing, jewelry, toys and virtual goods. Additionally, LiveXLive will work with artists and celebrities to manufacture custom products and licensing partnerships similar to Teremana Tequila and Dwayne Johnson (aka The Rock). Digital and physical distribution of merchandise will occur primarily online, but is also expected to include many big-box retailers like Walmart, which opens up more promotional and marketing opportunities for LiveXLive and its partners.

“The worlds of personalized merchandise, real-time fulfillment, and celebrity and influencer-led social commerce have collided to create a perfect storm. LiveXLive represents the perfect partner for us to capitalize on this next wave,” said Scott Norman, Founder of CPS.

Founded in 2012 and based in Addison, IL, CPS is a group of fast growing, web-based companies specializing in the merchandise personalization industry. Owned and managed by top-notch partners with a combined 50 years of customizing experience, CPS has brought together its “Dream Team” of innovators and designers to create an assortment of custom merchandise unparalleled in the market. CPS currently has over 70 full-time employees. Current CEO of CPS, Jean Semmelhack, will remain CEO of CPS as a wholly owned subsidiary of LiveXLive.

LiveXLive has the first talent-centric platform focused on superfans and building long-term franchises in audio and video on demand, podcasting, vodcasting, OTT linear channels, pay-per- view (“PPV”) and live streaming. Its model includes multiple monetization avenues including subscription, advertising, sponsorship, merchandise sales, licensing, and ticketing. LiveXLive recently raised its revenue guidance for its fiscal year 2021 based on the strength of its core businesses.

About LiveXLive Media, Inc.
Based at Los Angeles, California, LiveXLive Media, Inc. (NASDAQ: LIVX) (the “Company”) (pronounced Live “by” Live) is a global platform for the live and on-demand delivery of audio, video and podcast content in the areas of music, comedy and pop culture. LiveXLive, which has streamed over 1,500 artists since January 2020, has become a go-to partner for the world’s top artists and celebrity voices, as well as music festivals and concerts, including Rock in Rio, EDC Las Vegas and many more. In April 2020, LiveXLive produced its first 48-hour music festival called “Music Lives” with huge success as it got over 50 million views and over 5 billion views for #musiclives on TikTok with over 100 performances. The company’s library of global events, video-audio podcasts and original shows is also available on Amazon, Apple TV, Roku and Samsung TVs, in addition to its own app, destination site and apps. social networks. The company’s wholly-owned subsidiary, PodcastOne, generates more than 2.1 billion downloads per year on more than 350 podcast episodes per week. For more information, visit www.livexlive.com and follow us on Facebook, Instagram, TikTok, Twitter on @livexlive and YouTube.

About Custom Personalization Solutions (SCP)
Based at Addison Illinois, Custom Personalization Solutions (CPS) develops, manufactures and distributes personalized products for wholesale and direct-to-consumer distribution. The company offers more than 10,000 exclusive personalized gift items for family, home, seasonal holidays and special events. CPS is also one of the largest custom jewelry distributors in the United States. Wholesale customers include Walmart, Zulily, Zales, Petco, and Bed, Bath, and Beyond. From embroidery to laser engraving to direct-to-garment printing, CPS utilizes ten types of personalization methods, making it a one-stop-shop for all personalization/print-on-demand needs.

Forward-looking statements
All statements other than statements of historical fact contained in this press release are “forward-looking statements”, which can often, but not always, be identified by the use of words such as “may”, “could”, ” will”, “probably result”, “will result”, “should”, “estimate”, “plan”, “project”, “expect”, “intend”, “expect”, “anticipate” , “believe”, “seek”, “continue”, “target” or the negative form of these terms or other similar expressions. These statements involve known and unknown risks, uncertainties and other factors, which may cause actual results, performance or achievements to differ materially from those expressed or implied by such statements, including: the Company’s dependence to a key customer for a substantial percentage of its turnover; the Company’s ability to complete any proposed financing or acquisition and the timing of the closing of such proposed transaction, including the risks that any condition to closing will not be satisfied within the expected time frame or at all or that the closing of any proposed transaction may not occur; the Company’s ability to continue as a going concern; the Company’s ability to attract, retain and increase the number of its paying users and subscribers; the Company identifying, acquiring, securing and developing content; the Company’s intention to repurchase Common Shares from time to time under the share repurchase program and the timing, price and quantity of repurchases, if any, under the program; the Company’s ability to maintain compliance with certain financial and other covenants; the Company is successfully implementing its growth strategy, including with respect to its technology platforms and applications; management’s relationships with industry stakeholders; the effects of the global Covid-19 pandemic; changes in economic conditions; competetion; the risks and uncertainties applicable to the activities of the Company’s subsidiaries; and other risks, uncertainties and factors, including, but not limited to, those described in the company’s annual report on Form 10-K for the fiscal year ended March 31, 2020, filed with the United States Securities and Exchange Commission (the “SEC”) on June 26, 2020, Quarterly report on Form 10-Q for the quarter ended September 30, 2020, filed with the SEC on November 16, 2020, and in the Company’s other filings and submissions with the SEC. These forward-looking statements speak only as of the date hereof, and the Company disclaims any obligation to update these statements except as required by law. The Company intends that all forward-looking statements be subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

Press contacts:
For LiveXLive: The Rose Group
Lynda Dorf
[email protected]

LiveXLive infrared contact:
310.601.2500
[email protected]

SOURCELiveXLive Media, Inc.

Related links

http://www.livexlive.com