SOURCE: KOCH Entertainment

May 31, 2007 17:32 ET

KOCH Entertainment Finalizes Navarre Acquisition

PORT WASHINGTON, NY--(Marketwire - May 31, 2007) - KOCH Entertainment (the "Company") today announced that its acquisition of Navarre Entertainment Media Inc. was finalized. Navarre Entertainment Media is a distributor of independent music labels in the United States. Navarre Entertainment Media generated over $50 million in net revenues during its last fiscal year which ended on March 31, 2007. The Company believes that the acquisition represents a unique opportunity to leverage the existing KOCH infrastructure and generate significant cost synergies alongside consolidating its position as the leading independent music distributor in North America.

KOCH Entertainment, founded twenty years ago in 1987, has revolutionized independent music distribution in America by becoming the first company to exclusively distribute domestic independents throughout the U.S. in 1991. While KOCH has continued to set the pace, many other companies have followed, but few have survived. After the sale of Ryko to Warner, KOCH and Navarre have remained as the only two true independent music distribution companies of scale. With the addition of Navarre's $50 million in annual net revenue, KOCH Entertainment's market share will receive a boost from its present 1.9% to approximately 2.7 or 2.8%. Navarre's strong label roster of country and rock labels will complement KOCH's label roster and further enhance KOCH's leadership position as America's leading independent music company.

About KOCH Entertainment

KOCH Entertainment is the leading and fastest-growing independent music company in the U.S. and its operations encompass record and video labels as well as physical and digital distribution companies in the U.S. and Canada. KOCH Entertainment is the market leader among independents in both the U.S. and Canada and its record label KOCH Records had the largest number of Billboard-charting albums among independents for the last six years in a row (2001 - 2006). KOCH Entertainment is owned by Entertainment One Ltd. which has recently been listed on the London Stock Exchange's AIM market (ticker symbol "ETO"). For more information, please visit the Company's website at www.kochent.com.

About Navarre Corporation

Navarre Corporation is a publisher and distributor of physical and digital home entertainment and multimedia products, including PC software, CD audio, DVD video, video games and accessories. Since its founding in 1983, the Company has established distribution relationships with customers across a wide spectrum of retail channels which includes mass merchants, discount, wholesale club, office and music superstores, military and e-tailers nationwide. The Company currently provides its products to over 19,000 retail and distribution center locations throughout the United States and Canada. Navarre has expanded its business to include the licensing and publishing of home entertainment and multimedia content, primarily through the acquisitions of Encore, BCI, and FUNimation. For more information, please visit the Company's web site at www.navarre.com.

Contact Information

  • For more information, please contact:
    James Scileppi
    (516) 484-1000 Ext. 243
    Email Contact