Vinyl Group Secures $1.5 Million Credit Line with Songtradr

Vinyl Group, the only music-focused company listed on the ASX, has secured a $1.5 million revolving line of credit agreement with Songtradr.

Announced Monday, June 30th, Vinyl Group enters into a binding term sheet for a 24-month agreement with Songtradr on arms-length commercial terms.

The credit line, reads a statement, should provide flexible working capital to support the acceleration of sales on Vinyl.com, Vinyl Group’s B2C online vinyl marketplace, during the CY25 holiday season. The applied interest rate is RBA plus 5% per annum.

Also, both parties have reached agreement in principle on the conversion of certain historical liabilities currently owed to Songtradr.

Subject to shareholder approval, the arrangement would include the acquisition of the Vinyl.com domain.

These two agreements “further strengthen Vinyl Group’s strategic partnership with Songtradr,” which remains a major shareholder of the company, reads a statement to the ASX.

Songtradr’s Paul Wiltshire.

“Our continued support for Vinyl Group reflects our shared belief in creating a more transparent and connected music ecosystem,” comments Paul Wiltshire, CEO of Songtradr in the ASX statement.

Adds Josh Simons, CEO of Vinyl Group: “Our partnership with Songtradr continues to create real opportunities for the business. The new credit line gives us flexibility to accelerate growth in Vinyl.com and support long-term shareholder value.”

In plain terms, comments Simons, in a social post, the expanded arrangements create a “stronger, simpler balance sheet as we set up for future growth,” and provides flexibility that will “help us continue building a business that delivers real, long-term value to creators, fans, brands and our shareholders.”

Josh Simons

Based in Sydney, Vinyl Group’s portfolio includes Vinyl.com, the e-commerce platform with over 50,000 titles; Vampr, the social-professional network and talent marketplace with 1.6 million creators across 190-plus countries; and Jaxsta, the world’s largest database of official music credits with over 380 million verified records.

The business made global headlines with its purchase of The Brag Media, now Vinyl Media, in December 2023, a pact that welcomed a suite of titles into the Vinyl fold, including Rolling Stone AU/NZ, Variety AU/NZ, Tone Deaf, and The Music Network.

Subsequent acquisitions have included Web3 pioneer Serenade, events and brand activations specialist Funkified Entertainment, and Mediaweek.

“I’m grateful for the continued backing of Songtradr and Paul Wiltshire and excited for what comes next,” adds Simons in a social post. “We’re building for the future, and we’re just getting started.”

From this year, Vinyl Group has been sharing monthly trading updates by way of social posts, capturing trends and growth across the business’s various subsidiaries. 

Songtradr launched in 2015, initially with a platform that enabled independent and DIY artists to license their music. In the years since, the business strategically acquired more than 10 global business and today offers solutions for all technology and business needs in the music community. Those acquisitions have included the 2023 purchase of Bandcamp from Epic Games.