New York – Atrinsic, an Internet search marketer and
provider of direct-to-consumer subscription products, announced on Thursday
that it will acquire the assets of file-sharing service Kazaa from Brilliant
Digital Entertainment.
Under the terms, Atrinsic will issue 7.1 million shares
of its stock to Brilliant Digital, as well as assume certain liabilities.
Brilliant Digital will retain 20% of profits from the Kazaa digital music
service.
Atrinsic will appoint two Brilliant Digital-chosen individual to serve
on its board, including Brilliant Digital CEO Kevin Bermeister.
"This
transaction offers Atrinsic an ubiquitous entertainment brand and licensed
music content to complement its traditional strengths in the cost effective
acquisition of customers," the company said.
"Atrinsic believes it
can effectively combine resources and assets to extend the life of its
customers, grow its subscriber base and enhance and expand recurring revenue by
delivering long term value to subscribers across distribution and billing
platforms."
Related Links:
http://tinyurl.com/2e2xgta
http://atrinsic.com
http://www.kazaa.com
