LOS ANGELES--(BUSINESS WIRE)--Loton, Corp. (OTCBB:LTNR) (the “Company” or “Loton”) today announced that it is has entered a non-binding Letter of Intent to acquire KOKO, a premier multimedia and lifestyle brand and one of London’s iconic live music venues. KOKO is internationally renowned for delivering over 250 live music events per year for the past ten years.
KOKO delivers a premier program of digital, live shows and TV entertainment to an international audience. 400,000 music fans step through its doors annually to see classic artists such as Coldplay, Pharrell, Christina Aguilera, Prince, and Madonna. The venue is also the home of London Live, the UK’s longest running and internationally syndicated live concert series, which is currently distributed into 300 million TV homes globally in over 70 different countries, having featured Usher, Kanye West and Lady Gaga.
KOKO has worked with the finest EDM talent in the world today from Swedish House Mafia, David Guetta, Calvin Harris, Diplo and Skrillex to underground Berlin super DJ’s such as Paul Kalkbrenner and French Techno artist Gesaffelstein. The company has enjoyed a ten-year partnership with NME, the world’s biggest standalone music site, with more than 7 million users per month. KOKO and NME have been successful breaking new acts including the Gossip, Bloc Party, MGMT and Hard Fi.
The acquisition will provide an opportunity for KOKO to expand the delivery of high-quality content across mobile devices and digital platforms globally. KOKO’s mission is to replicate the tremendous success of other UK-based lifestyle brands (Virgin Records, Hard Rock, The Beatles, Soho House, and Hakkasan), expanding into the US and around the world. To date, the company has collaborated with several premier global brands including Apple (launching iTunes Festival), Spotify, Diesel, Chanel, MTV, AOL and Virgin Records (40th Anniversary). KOKO will seek opportunities that leverage, license and expand its brand, whether in collaboration with other global companies or on its own.
“We are excited to announce this letter of intent to acquire KOKO’s brand and venue. Our team will assist in the expansion of Koko’s brand across the globe and the creation of a 360-degree music platform,” commented Robert Ellin, Chairman and Chief Executive Officer of Loton, Corp. “We are elated to partner with Olly Bengough, Founder and CEO of KOKO. His track record of building exceptionally profitable lifestyle brands in London fits perfectly with our assembly of a world-class team of executives and board members.”
Loton is backed by Trinad Capital, a micro-cap and small-cap activist hedge fund based in Los Angeles, California. The fund is led by Robert Ellin, a seasoned portfolio manager with 25 years of investment experience. Mr. Ellin spearheaded investments in several publicly traded companies including ThQ, Grand Toys, Forward Industries (FORD), Majesco Entertainment (COOL), Command Security (MOC), Mandalay Digital Group (MNDL), iVillage (IVIL), Points International (PCOM), as well as private companies including iWon.com and SS industries.
Stella Capital Advisors provided advisory services to KOKO’s shareholders on this transaction. Loton has a ninety-day period to enter into a definitive Acquisition Agreement. Additional details of the transaction will be disclosed once an agreement has been executed.
About Loton, Corp.
Loton, Corp. (OTCBB:LTNR) is currently considered to be a “blank check” company. The U.S. Securities and Exchange Commission (the “SEC”) defines those companies as “any development stage company that is issuing a penny stock, within the meaning of Section 3(a)(51) and Rule 3a51-1 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and that has no specific business plan or purpose, or has indicated that its business plan is to merge with an unidentified company or companies. The Company’s principal business objective for the next 12 months and beyond such time will be to achieve long-term growth potential through a combination with a business rather than immediate, short-term earnings. The Company will not restrict its potential candidate target companies to any specific business, industry or geographical location and, thus, may acquire any type of business.
Statements in this news release concerning future results from operations, financial position, economic conditions, product releases and any other statement that may be construed as a prediction of future performance or events are forward-looking statements which involve known and unknown risks, uncertainties and other factors which may cause actual results to differ materially from those expressed or implied by such statements. These factors include uncertainties as to levels of orders, ability to record revenues, release schedules, market acceptance of new products, changes in economic conditions and market demand, pricing and other activities by competitors, and other risks including those described from time to time in the Company’s filings on Forms 10K and 10Q with the Securities and Exchange Commission (SEC), press releases and other communications.