Wisetech’s White now pulls Brag string
He once repaired guitars for AC/DC, now Wisetech founder and billionaire Richard White has backed Vinyl Group’s acquisition of Rolling Stone’s local publisher The Brag Media with an $11m debt and equity deal.
The deal will take Mr White’s stake in Vinyl Group previously known as Jaxsta – to 34.81 per cent, after an initial investment this year.
The company, led by chief executive Josh Simons, owns what it says is the world’s largest database of official music credits, and also operates talent-focused social networking and marketplace site Vampr.
In the deal announced on Thursday, Vinyl Group will buy The Brag Media, which publishes Rolling Stone, Variety, Billboard, and other titles here, as well as native content and an events business.
Brag claims to reach about 10 million users per month and generate more than 40 million page views.
Mr White is bankrolling the deal through his RealWise Group investment vehicle, putting in $3.9m at 4.4c per share, plus another $7m in the form of a convertible note. Mr White will move to own more than a third of the business should shareholders approve.
Mr White is a former musician whose first business was Rock Repairs – repairing guitars for bands including AC/DC and The Angels. He said there was “no doubt that iconic brands like Rolling Stone and Variety make sense and add value to Vinyl Group”.
Vinyl group will pay $8m in cash for The Brag Media, with a further $2m payable on a deferred basis when revenue and earnings targets are met.
Vinyl Group’s shares were 17.7 per cent higher at 5.3c in early trade.