Searchlight Capital Partners, L.P. (“Searchlight”) today announced that funds managed by Searchlight have entered into a definitive agreement to acquire a controlling interest in TouchTunes Interactive Networks, Inc. (“TouchTunes” or the “Company”), the largest in-venue interactive music and entertainment platform, featured in over 71,000 bars and restaurants across North America and Europe. TouchTunes’ senior management team, which will continue to be a significant shareholder in the business, is widely respected in the industry, having significantly expanded the Company’s national network and market share.
Commenting on the deal, Eric Zinterhofer, a Founding Partner of Searchlight, said, “We are deeply impressed by the management of TouchTunes. Charles Goldstuck and his team have a clear track record of successful innovation, on which they have built a market leading business in an attractive sector. TouchTunes has many exciting opportunities both in North America and internationally. We look forward to supporting the Company as it executes on this next phase of growth.”
Charles Goldstuck, CEO of TouchTunes, said, “Searchlight is the perfect partner for TouchTunes as we prepare for the next phase of our global growth plan. They are extremely well versed in the global digital media world, and are perfectly positioned to help the Company expand on its forward looking innovation efforts.”
TouchTunes is not only the largest in-venue interactive music and entertainment platform, featured in over 71,000 bars and restaurants across North America and Europe, but also a leading digital out-of-home advertising platform. TouchTunes’ national network provides brands with a unique opportunity to target consumers with highly relevant ads and other promotions while in-venue.
About Searchlight Capital Partners, L.P.
Searchlight is a global private investment firm with offices in New York, London and Toronto. Searchlight invests in businesses where its long term capital and strategic support accelerate value creation for all stakeholders. For more information, please visit www.searchlightcap.com
TouchTunes is the largest in-venue interactive music and entertainment platform, featured in over 71,000 bars and restaurants across North America and Europe.
TouchTunes’ platform provides location-based digital solutions that encourage social interactions through shared experiences. Music is at the core of TouchTunes’ experience with millions of songs played daily across the network and a mobile app that lets users find nearby jukebox locations, create playlists, and control the music in-venue directly from their phone. The mobile app is available on the iOS and Android platforms and has been downloaded over 3.5 million times.
TouchTunes’ award-winning products and services also include an integrated photo booth, the first fully licensed commercial karaoke system and an interactive TV messaging and engagement solution. The network also serves as a highly scalable digital out-of-home activation platform that provides highly targeted advertising and promotional opportunities for consumer brands.
TouchTunes is headquartered in New York City, with offices in Chicago, IL, Montreal, Quebec and London, U.K. For more information, please visit www.touchtunes.com.
Peter J Solomon Company is serving as financial advisor to Searchlight in connection with this transaction, and Paul, Weiss, Rifkind, Wharton & Garrison is acting as counsel to Searchlight.
Moelis & Company is serving as financial advisor to the Company, and Orrick, Herrington & Sutcliffe LLP is acting as legal advisor.