Stockholm-based production music startup Epidemic Sound has raised $20 million to expand into new markets with a strong focus on Asia.
The funding was comprised of equity from DS Asset Management, a Korean asset manager founded by entrepreneur DS Jang, and debt from Skandinaviska Enskilda Banken AB (SEB), a Swedish financial group.
Epidemic will launch in Seoul, South Korea in Autumn 2019 via a partnership with DS Asset Management.
Epidemic Sound was plunged into the center of industry controversy in 2017 after it was unmasked as the company behind a slew of so-called ‘fake artists’ on Spotify.
Later that year, 40% of Epidemic was acquired by private equity house EQT.
Epidemic claims to provide music to over 10,000 creators a week, including “everyone from influential YouTubers to well-respected film producers and directors, as well as brands and major broadcasters”.
Epidemic is backed by Creandum, EQT Mid-Market and Atwater Capital and has offices in Stockholm, Helsinki, New York City, Amsterdam, Hamburg, Madrid, Los Angeles and Sydney.
“Expanding in Asia in partnership with such an entrepreneurial, locally-connected group gives us great confidence in our expansion plans.”
Oscar Hoglund, Epidemic SOund
Oscar Hoglund (pictured main), Epidemic Co-Founder and CEO, said: “Asia is home to some of the world’s most exciting and dynamic online content creators, musicians, and businesses.
“We have witnessed strong growth in demand for Epidemic’s music platform across the Asian continent prior to even having a presence there, so this launch feels like a natural next step for Epidemic.
“Furthermore, we’re humbled and thrilled to be working with DS Asset Management. Expanding in Asia in partnership with such an entrepreneurial, locally-connected group gives us great confidence in our expansion plans.”
Vania Schlogel, Epidemic sound
Vania Schlogel, Chair of the Board of Directors at Epidemic, added: “The speed with which Epidemic has been executing to soundtrack all corners of the world is a testament to the quality of Epidemic’s music and best-in-class technology licensing platform.
“Epidemic has grown its revenue by over 100% year over year, sources its tracks from some of the world’s most talented artists, and provides music to top global brands and online content creators.
“Epidemic has revolutionized this segment of content creation and sharing for a digital economy.”Music Business Worldwide