Tiny Ltd. Acquires Majority Stake in Serato Audio Research for US$66 Million

Tiny Ltd. (TSX.V: TINY) has made a significant move in the audio software industry by acquiring a 66% interest in Serato Audio Research, a globally recognized leader in audio software. The transaction, valued at US$66 million, was advised by Roth Canada and includes US$23.6 million in Tiny common shares and US$42.4 million in cash. This acquisition not only values Serato at 3.2x its annualized revenue and 9.6x its adjusted EBITDA based on the financial results for the nine months ended September 30, 2024, but also strategically positions Tiny Ltd. to expand its footprint in the competitive audio software market.

Roth Canada's involvement was crucial in the transaction's success, showcasing their expertise in facilitating high-growth technology and digital platform businesses. The firm co-led a C$20 million bought deal public offering and served as co-lead placement agent for a C$36.1 million private placement of convertible debentures, bringing the total transaction financing to C$56.1 million. This deal exemplifies the growing trend of consolidation and investment in the digital technology sector, emphasizing the importance of strategic asset acquisition and innovative financing structures.

The acquisition of Serato Audio Research by Tiny Ltd. is a testament to the vibrant dynamics of the digital technology sector, where strategic mergers and acquisitions are key to growth and expansion. For more details on Roth Canada's role in such transactions, visit https://www.rothcanada.com. This move not only enhances Tiny Ltd.'s technological capabilities but also solidifies its position as a significant player in the audio software industry.