Pump Audio Is First Investment for Greycroft Partners, Closely Watched Fund from Leading Venture Investor Alan Patricof

Pump Audio Is First Investment for Greycroft Partners, Closely Watched Fund from Leading Venture Investor Alan Patricof

Leading Provider of Independent Music to TV Networks Expanding to the Web, Extending Access for Content Creators Around the Globe

HUDSON VALLEY, N.Y., May 1 /PRNewswire/ -- Pump Audio, a new kind of agent for independent musicians, announced today that it has closed a Series A round of financing co-led by Greycroft Partners and High Peaks Venture Partners, a Village Ventures Fund. Pump Audio represents the first investment for Greycroft Partners LP, the newly formed and closely watched investment fund from Alan Patricof. Patricof, a leading venture capital figure who was an early investor in Apple Computer, AOL, Cellular Communications, Inc. and LIN Broadcasting, among others, formed the new $50 million fund in March. Greycroft Partners invests in emerging digital media and entertainment companies that have already established a level of commercial revenue.

The funding will bolster Pump Audio's new product development efforts and international expansion. Patricof and High Peaks Managing Director Bradley Svrluga have joined Pump Audio's board of directors.

"It is an honor to be the first company selected for investment by this exciting new fund led by Alan Patricof," said Steve Ellis, founder and CEO of Pump Audio. "It's a tremendous validation of our existing model and an endorsement for our current vision of becoming the soundtrack for the Internet. We already provide independent music for hundreds of hours of television and advertising and will do the same for the increasing volume of web content being created worldwide. Pump Audio is a company that thinks independently, and to be able to work with a legendary, independent thinker like Alan Patricof provides us with the right kind of strategic support as we enter a period of unprecedented growth."

Pump Audio, founded in 2001, has been providing music producers in TV and advertising with access to its catalog of tens of thousands of songs from independent musicians through the PumpBox, Pump Audio's unique search software and delivery device. Pump Audio has attracted thousands of independent musicians and has successfully provided music to major production customers such as MTV Networks, HBO, NBC Studios, Saatchi & Saatchi, New Line Cinemas and the Discovery Channel. By extending its distribution capabilities to the Web, Pump Audio makes it easier for content creators around the globe to discover and license songs to accompany user-generated content including videos, photo slideshows and other interactive productions.

"The music industry needs genuinely new ideas and Pump Audio is providing the best new ideas I have seen in the space," said Patricof, also co-founder of Apax Partners, one of the first private equity firms to focus early stage investment in emerging technology companies. "Demand is increasing dramatically for legal, licensed music that can accompany content, whether it's created by major television studios or by individuals who are editing video at home on a laptop and distributing it over the Internet. The demand extends across the globe, and Pump Audio's new Web solution will give this music pioneer instant reach to every corner and content creator in the world."

"We couldn't be more excited about partnering with Steve and his team to make Pump Audio the default source of legally cleared music for use across all media," added Svrluga. "The explosion of distribution channels for video content has created an enormous licensing challenge for owners of existing content and creators of new content. Pump Audio has developed a unique solution that not only answers that need, but also does it in true partnership with the independent music community, enabling the long tail of the artist community to earn real income from their talents."

About Pump Audio

Founded in 2001, Pump Audio is a new kind of agent for independent musicians, digitally connecting them with buyers in the mainstream media. With Pump Audio, artists can license their music into productions without giving up any ownership with a no-fee, non-exclusive contract, while TV and advertising producers can discover new music ready for use. With a growing catalog of tens of thousands of songs, all by independent artists from around the world, customers access music through Pump's innovative search software and delivery device, the "PumpBox." Based in Hudson Valley, New York, Pump Audio can be found on the Web at http://www.pumpaudio.com/.

About Greycroft Partners LP

Greycroft Partners is a venture capital partnership with approximately $50 million under management, whose participants are leading corporate executives from around the world. The Fund was formed for the purpose of primarily investing in new media in all its forms with particular emphasis on the Internet and wireless space, but it will also focus on the broader consumer sector. Investment size at inception ranges from $500,000 to $3 million and, on a staged basis, will increase to double that amount over time. Greycroft Partners predominately will target companies past the initial start up and development phase, and that have reached some level of commercial acceptance, regardless of how small the level of revenues. The Fund is prepared to assist portfolio companies in all phases of expansion, including marketing, financing and management development. For more information, please see our Web site at http://www.greycroftpartners.com/.

About High Peaks Venture Partners

With nearly $50 million in capital in its first fund, High Peaks Venture Partners (http://www.hpvp.com/) is the largest early stage venture fund in Upstate New York. High Peaks invests primarily in New York State, from the new media and financial services canter that is Manhattan, up the Hudson Valley, and across the technology centers of Upstate New York. The firm focuses on investments in early-stage technology companies that are seeking between $500,000 and $5,000,000 in equity capital. The High Peaks team brings substantial experience as venture investors, entrepreneurs, and business advisors across a variety of industries. The team is passionately committed to the business of building exceptional young companies, and works side by side with the entrepreneurs that the fund backs, contributing broadly to both the operational and strategic aspects of the businesses. High Peaks is part of the Village Ventures national network of regionally focused early-stage venture capital funds.

About Village Ventures

Village Ventures is an early stage venture capital firm investing in exceptional entrepreneurs building technology and life science companies in emerging US technology centers. Village Ventures identifies these investment opportunities in partnership with its proprietary nationwide network of early stage venture capital funds that are focused on these markets. Recognizing that venture capital is a local business, Village Ventures has built its enterprise around the deeply integrated local VC who knows regional entrepreneurs and opportunities. The Village Ventures structure allows local VCs to utilize a national framework of world-class services and investment support. Because capital alone does not ensure success, Village Ventures also offers back-office support for the fund network and growth resources for entrepreneurs. http://www.villageventures.com/.

The Partner Funds in the Village Ventures network are The Berkshires Capital Investors, Williamstown, MA; The Worcester Venture Fund, Worcester, MA; Long River Ventures, Springfield, MA; Tall Oaks Capital, Charlottesville, VA; FreshTracks Capital, Burlington-Middlebury, VT; Inflexion Fund, Tampa, FL; Point Judith Venture Fund, Providence, RI; Solstice Capital, Tucson, AZ; Borealis Ventures, Hanover, NH/Portland, ME; Highway 12 Ventures, Boise, ID; High Peaks Ventures, Albany, NY; Spring Mill Venture Fund, Indianapolis, IN.

Source: Pump Audio

CONTACT: Matt Hicks of SutherlandGold Group for Pump Audio,
+1-415-722-3603, matt@sutherlandgold.com

Web site: http://www.pumpaudio.com/
http://www.greycroftpartners.com/
http://www.hpvp.com/
http://www.villageventures.com/

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