Tiny Ltd. (TSX.V: TINY) has acquired a 66% stake in Serato Audio Research for US$66 million, marking a significant strategic investment in the global audio software market. The transaction, structured with US$23.6 million in Tiny's common shares and US$42.4 million in cash, values the company at 3.2 times its annualized revenue and 9.6 times adjusted EBITDA.
Roth Canada played a pivotal role in the acquisition, serving as the exclusive financial advisor and coordinating additional financing. The firm co-led a C$20 million public offering of subscription receipts and a C$36.1 million private placement of convertible debentures, bringing the total transaction financing to C$56.1 million.
The acquisition signals Tiny Ltd.'s strategic expansion into the audio technology sector and demonstrates Roth Canada's commitment to supporting high-growth technology companies. By purchasing a majority stake in Serato, Tiny Ltd. gains access to a leading global audio software platform, potentially positioning itself for increased market share and technological innovation.
