Mood Media Corporation
TSX : MM
AIM : MM

Mood Media Corporation

September 13, 2010 16:10 ET

Mood Media Announces Proposed Public Offering of Convertible Debentures

TORONTO, ONTARIO--(Marketwire - Sept. 13, 2010) -

NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES

Mood Media Corporation (formerly Fluid Music Canada, Inc.) (TSX:MM)(AIM:MM) (ISIN:CA61534J1057) ("Mood Media") announced today that it has filed a preliminary short form prospectus in each of the provinces and territories of Canada, except Quebec, in connection with a proposed public offering (the "Offering") of debentures (the "Debentures") convertible into common shares of Mood Media. The Debentures will be unsecured subordinated obligations of Mood Media.

The Offering will be conducted by BMO Capital Markets. The size of the Offering and pricing of the Debentures will be determined in the context of the market with the final terms of the Offering to be determined at the time of pricing. The Offering will be subject to several conditions including the receipt of all necessary approvals, including the approval of the Toronto Stock Exchange.

The net proceeds of the Offering will be used to redeem the outstanding CDN$30,317,300 10% convertible unsecured subordinated debentures of Mood Media and any remaining balance will be used to pay down any outstanding balance on its U.S.$15 million working capital revolver of Mood Media's senior credit facility.

The Offering will be sold publicly in each of the provinces and territories of Canada, except Quebec, and on a private placement basis in the United States. The securities to be offered have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or applicable exemption from registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy securities in any jurisdiction.

About Mood Media Corporation

Mood Media is a leading in-store media specialist that uses a mix of music, visual and scent media to help its clients communicate with consumers with a view to driving incremental sales at the point-of-purchase. Operating through its two principal divisions, In-Store Media and Retail Point-of-Purchase, Mood Media works with more than 800 retail chains in more than 30 countries throughout North America, Europe, Asia and Australia.

The Directors believe that Mood Media's services can have a direct impact on consumer purchasing decisions which makes in-store media an effective marketing tool. The Directors believe that in-store media services can enhance branding in real-time and influence shopper decisions by improving the shopping experience for consumers.

The in-store media business generates revenue via sales of its multi-sensory services to businesses; the retail point-of-purchase sells speciality compilations through its retail clients. Mood Media has also compiled an extensive rights-included music library with over 1.8 million tracks.

Mood Media operates an international in-store media and music retail business with an extensive geographic footprint and a broad client base including several multinational blue chip organisations.

For further information about Mood Media, please visit www.moodmedia.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains forward-looking statements. The statements that are concerning the Offering are forward-looking statements. The words "believe", "expect", "anticipate", "estimate", "intend", "may", "will", "would" and similar expressions and the negative of such expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These forward-looking statements are subject to important assumptions, including the following specific assumptions: receipt of all necessary approvals and general market conditions at the time of the Offering. The Offering may not be completed or may not be completed on the same terms as previously announced. While Mood Media considers these factors and assumptions to be reasonable based on information currently available, they may prove to be incorrect.

Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking statements. Such factors include, but are not limited to: failure to receive necessary approvals and negative general market conditions. Given these uncertainties, readers are cautioned not to place undue reliance on such forward-looking statements.

All of the forward-looking statements made in this press release are qualified by these cautionary statements and other cautionary statements or factors contained herein, and there can be no assurance that the actual results or developments will be realized or, even if substantially realized, that they will have the expected consequences to, or effects on, Mood Media.

A preliminary short form prospectus containing important information relating to the Offering has been filed in all of the provinces and territories of Canada (except Quebec). Please refer to the risk factors identified in the preliminary short form prospectus under the heading "Risk Factors" and also incorporated by reference therein. The preliminary short form prospectus is still subject to completion or amendment. A copy of the preliminary short form prospectus is available on www.sedar.com.

Forward-looking statements are given only as at the date hereof and Mood Media disclaims any obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable laws.

Contact Information

  • Mood Media Corporation
    Lorne Abony
    Chairman, President and Chief Executive Officer
    416 510 2800