ZOO DIGITAL GROUP PLC

Earnings Release • Sep 7, 2015

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RNS Number : 1893Y

7digital Group PLC

07 September 2015

7 September 2015

7digital Group plc

("7digital", "the Group" or "the Company")

Update re Audioboom Investment

and Notice of Interim Results

7digital (AIM: 7DIG), the digital music and radio services company, announces that on Friday 4 September 2015, it sold the remainder of the Company's investment in Audioboom Group plc ("Audioboom"), (the "Sale"), raising cash proceeds of approximately £1.87 million and bringing to £5.39 million the total cash raised from this investment.

The Sale comprised 58,000,000 ordinary shares of no par value (the "Audioboom Shares"), as well as the associated 8,765,404 warrants over Audioboom Shares (the "Audioboom Warrants"), which are exercisable at 1.5 pence per Audioboom Share. The Audioboom Shares and Audioboom Warrants were sold at a price of 3 pence and 1.5 pence respectively.

Following the Sale, 7digital has no remaining equity interest in Audioboom. In total, the Company has generated a profit of approximately £3.53 million from its investment in Audioboom.

7digital acquired its stake in Audioboom though the reverse acquisition by UBC Media Group plc ("UBC") in June 2014. The remaining stake sold yesterday taken together with the cash proceeds of approximately £3.52 million realised when the Company disposed of Audioboom Shares in October 2014, means the Company has raised total cash proceeds of approximately £5.39 million from the sales of Audioboom Shares and Audioboom Warrants, against the original investment of £1.86 million.

The cash proceeds of the Sale will be used to invest in the 7digital platform, and strengthen the working capital position of 7digital.

Simon Cole, CEO of 7digital, commented:

"We are pleased that our initial investment in Audioboom has resulted in a significant profit for our shareholders. 7digital is in a dynamic business, growing fast and operating in a rapidly developing marketplace for digital music and radio services.  Our Board believes that rather than having an illiquid minority stake in another listed vehicle, the value and proceeds would be better invested in our own platform to accelerate our growth and allow us to take maximum advantage of the opportunities ahead"

7digital will be announcing its interim results for the six months ended 30 June 2015 on Monday 28 September 2015.  

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Enquiries:

7digital Group	020 7099 7777
Simon Cole, Chief Executive Officer
Chris Dent, Chief Financial Officer
finnCap (nominated adviser and broker)	020 7220 0500
Geoff Nash/Carl Holmes/Simon Hicks  - Corporate Finance
Malar Velaigam/Mia Gardner - Corporate Broking
Powerscourt	020 7250 1446
Juliet Callaghan / Simon Compton

About 7digital

7digital are the power behind innovative digital listening experiences. Their robust, scalable technical infrastructure and extensive global rights are used to create comprehensive music and radio services for leading consumer brands, mobile carriers, broadcasters, automotive systems, retailers, record labels, artists and agencies. Alongside proven product knowledge, they offer award-winning radio production and music curation services, superior editorial strategy and content management expertise, making them a leading partner in this space.

7digital foster industry growth and innovation by simplifying access to music for clients such as Panasonic, Onkyo, Guvera, ROK Mobile, and The Overflow. From their years of being the largest independent producer of programming for the BBC, launching Radioplayer in multiple territories and powering services for partners like Samsung, BlackBerry and T-Mobile, 7digital are perfectly positioned to lead innovation at the intersection of digital music and next generation radio services.

http://about.7digital.com/

This information is provided by RNS

The company news service from the London Stock Exchange

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