Mood Media sells off rest of Canadian retail music accounts to Stingray Digital

Shifting towards digital signage and in-store scents in a move to strengthen core business

Mood Media is selling the remainder of its Canadian retail music accounts to a Montreal-based company for US$11 million.

Mood Media says the sale of the 8,000 accounts to Stingray Digital will allow it to focus on its core businesses, strengthen its balance sheet and help pay down debt.

The company has been moving away from background music and into digital signage and helping retailers use fragrances and scents as part of their marketing in stores.

Stingray Digital said it will be providing support and music programming services to retailers, such as Loblaws, Mark’s, Aldo Shoes, among others. The bulk of the accounts are music, but some are digital signage, Stingray said.

In January, Mood Media sold its residential Latin American music division to Stingray for $16.3 million.

Stingray Digital is the owner of the Galaxie TV digital music service that’s available via cable and satellite TV operators.

Late last year, Stingray signed an expanded agreement with Mood Media to supply music to an additional 7,500 additional Mood commercial locations, making it the largest provider of background music to about 70,000 Canadian retail stores.

“This is another important milestone for Mood Media and it underscores our commitment to unlocking the value of our assets and capitalizing on new opportunities to enhance returns for all of our stakeholders,” Mood Media president and CEO Steve Richards said Friday.

Stingray Digital has more than 100 million subscribers in 113 countries. Its properties include Galaxie, Music Choice International, Concert TV and the Karaoke Channel as well as music licensing services.

Media Articles

Giving marketers the inside edge

SPONSORED: In-app video from Flurry and its marketplace now available to Yahoo advertisers

Yahoo Canada’s Year in Review

SPONSORED: Tapping in to what matters most to users

The search for social marketing’s J.D. Power

Aimia CMO John Boynton says social marketing needs metrics that look deeper

Canada’s Hottest Ads: A very foodie November

...with a light dusting of holiday cheer

Toronto Star hires Rethink

Agency to focus on promoting the paper's print edition and tablet news products

Former Quebecor CEO to head St-Hubert restaurant chain

Robert Depatie starts new role in February

Why there needs to be a victor in the mobile wallet wars

Retail Futurist Doug Stephens says convenience will reach a tipping point