“AUDIO SECTOR REPORT “Good Times

Home , Francis and the Lights, KuGou, Merck Mercuriadis, Music catalog, Production music, UnitedMasters

“AUDIO SECTOR REPORT “Good Times. These Are The Good Times” – “Recap of Q1 2021 EXECUTIVE SUMMARY Q1 2021 Audio Sector Wrap-Up » The activity across the audio sector in Q1 2021 continues to reinforce our view of the two powerful and fundamental investment themes in the category: we are at the start of a 10+ year investment cycle in music, broadly; and, the re-platforming of the industry to the digital tier that is well underway will introduce greater monetization opportunities on a truly global scale for creators, artists, fans, indie labels, majors, and investors » The quarter’s M&A activity has been robust and across all categories in the music landscape, from creator tools to DSPs to indie publishers and technology companies, highlighted by: ― Square’s acquisition of Tidal (DSP, artist economy) ― Sony’s acquisition of AWAL (distribution) ― Francisco Partners’ investment in and acquisition of Native Instruments and Izotope in the same quarter (creator tools) ― Spotify’s acquisition of Locker Room (artist economy) » Not to be outdone by M&A, the pace of financing and investment in the category has continued unabated with strategics and financial sponsors making some very big bets: ― Apple’s $50MM investment in UnitedMasters (distribution) ― TME’s $57MM investment in PEX (technology) ― Blackstone’s $450MM investment in Epidemic Sound (distribution) ― Goldman Sachs’s $55MM investment in Splice (creator tools) » And “the song as an asset class” theme that we have also been tracking for some time has continued to see momentum, the highlight of the quarter being KKR’s announced partnership with BMG to pursue acquisition of music copyrights. The heavy-hitters are in the arena and the competition is only elevating, but the investment conviction underscores the tremendous opportunity and belief that the TAM in the industry is expanding quickly and that technology is unlocking greater monetization opportunities than ever before » And then there is the NFT – a relatively new entrant – making a lot of noise this quarter. We are extremely excited about this development and believe in many ways that it is a perfect solution for artists and rights holders to monetize rights and engage passionate fans with collectable, unique tokens created around songs or recordings. More to come!

Select Q1 Active Acquirers Select Q1 Active Investors

2 TABLE OF CONTENTS

I. GCA Overview

II. Digital Music Trends and Insights

III. Public Markets

IV. M&A and Financings

V. Public Comps Backup

3 GCA OVERVIEW GCA’s Dedicated Sector Knowledge and Execution Excellence GCA Music Focus GCA’s Global Music Leadership Team

STREAMING PUBLISHING JOHN LAMBROS SASCHA PFEIFFER Member of the Board, Member of the Board, President, GCA US Co-Head, Europe RIGHTS [email protected] [email protected] DISTRIBUTION MANAGEMENT

SAMEER JINDAL JONATHAN NORMAN ENGAGEMENT ARTIST SERVICES Managing Director, Managing Director, TOOLS Head, India Digital Media [email protected] [email protected]

AI TOOLS & VIDEO & ANALYTICS CREATIVE DAVID FEGLEY MALTE ABRAMS Vice President Director [email protected] [email protected] PROMOTIONAL LIVE EVENT SERVICES MANAGEMENT

GCA Overview 25 >500 500+ 245 80% OFFICES AROUND M&A TRANSACTIONS IN PE DEALS IN THE REPEAT OR THE WORLD PROFESSIONALS LAST 3 YEARS LAST 3 YEARS REFERRED CLIENTS

Notes: The above transactions represent a compilation of past and current deals that GCA entities, including GCA Advisors, LLC, GCA Advisors Corporation and GCA Altium have advised on. 4 GCA OVERVIEW Leading Global Investment Bank Providing Strategic M&A and Capital Markets Advisory Services

STOCKHOLM

MANCHESTER LEEDS PARIS FRANKFURT BIRMINGHAM MUNICH KYOTO NAGOYA ZURICH TOKYO LONDON SHANGHAI NEW YORK LAUSANNE MILAN NEW DELHI OSAKA TEL AVIV SAN FRANCISCO FUKUOKA TAIPEI MUMBAI SINGAPORE HO CHI MINH CITY

Global platform: Sector expertise: Exceptional cross- 25 offices in key Experienced team: Expansive coverage border capabilities: markets across Over 500 employees and deep Half of all America, Asia and across the globe specialization transactions Europe Broad spectrum Diversified Strong reputation of clients: business model: and track record: Leading Geographically High number of conglomerates, top balanced, synergistic repeat clients and private equity firms and complementary referrals and emerging high- focus areas growth companies

GCA acted as exclusive financial advisor to EMH Partners on the sale of a majority stake in Native Instruments, the leading vendor of software and software-enabled hardware for digital audio production, to Francisco Partners

SITUATION SOLUTION » Native Instruments is the global leader in digital music » GCA generated strong process momentum by creation software and hardware, with more than 1.5 introducing several very eager bidders early, of which TRANSACTION DATE million active users Francisco Partners emerged as the most motivated Pending » Native Instruments was founded in 1996 in Berlin and » Navigated the process through COVID environment with January 2021 employs more than 400 employees worldwide, operating video conference meetings between the parties in seven global offices DEAL TYPE » Drew in parties that had actively followed the Company M&A » In 2017, EMH Partners invested $60MM in Native in the past to increase number of process participants – Instruments, followed by a further investment in 2020 to even during the lockdown achieve majority ownership in the Company SECTOR » Received multiple proposals from PE with different Digital Media, Music, » With Francisco Partners, Native Instruments is planning to transaction structures and assisted the Company and Software, Technology further enhance its product leadership, drive board in evaluating and optimizing the various options consolidation in the growing and fragmented market for » Drove price and certainty through closure digital music creation, and extend its already leading position in the industry

6 TABLE OF CONTENTS

I. GCA Overview

II. Digital Music Trends and Insights

III. Public Markets

IV. M&A and Financings

V. Public Comps Backup

7 DIGITAL MUSIC TRENDS AND INSIGHTS Q1 2021 Music Sector Wrap-Up – Key Subsegment Trends We’re Tracking

1 2 3

Technology underpins the future “The hardest working Major in the Rapid globalization of streaming of music sharing and monetization music industry”– WMG’s busy quarter driving ubiquity & fueling growth

4 5 6

Creator tools consolidation & The song as an asset class – The artist economy goes investment well underway another quarter of activity mainstream

8 TECHNOLOGY UNDERPINS THE FUTURE OF MUSIC SHARING AND MONETIZATIO N 1 Pex Raises Funding from Tencent Music Transaction Overview Pex Overview

» On February 16th, Pex announced a $57 million Headquarters: Los Angeles, CA investment from Tencent Music Founded: 2014 » Existing investors Illuminate Ventures and Susa Employees: ~100 Ventures as well as new investors Tencent, Amaranthine, Cue Ball, and NextGen Venture Description: Pex is a leader in digital rights technology aiming to bring Received Later Stage VC Partners also participated in the round transparency, attribution, trust, and compensation to the digital world. The Company’s technology monitors social networks Investment from » The investment will help Pex to scale its worldwide to find music and film content that belongs to Attribution Engine (AE), which the Company rightsholders and has been shared without authorization. describes as “the licensing infrastructure for a better Internet” » The round comes a year after the Company’s Platform Features $57MM acquisition of Dubset, a music rights startup, in March 2020

Product Overview – Attribution Engine & Content Mgmt. Platforms » Support content creators, protect users, license from rightsholders, and incentivize advertisers – all while safely growing your platform Selected Transaction Commentary

Rightsholders Attribution is vital to the Internet; We live in a world where » Your content is constantly reused without your consent – finally “it can help protect copyright “everyone is creating, mixing, and you can control how, when, and where your content should be without stifling creation. My vision remixing copyrighted works. But used before it’s published has always been to deliver a set of the ability to rapidly identify, technologies that brought attribute, and license them in real- Creators transparency, accuracy, and – time is the missing link to address » Platforms using Attribution Engine give their users access to most importantly – trust to digital the value-gap. If we could

more copyrighted content through real-time licensing so you rights and content. I feel Pex has seamlessly compensate artists – if

now accomplished that and with we could enable a culture of fair can create with confidence “ this round of funding we are well and universal attribution –“ then Law Enforcement positioned for what lies ahead. we could set the stage for a truly » By securely providing digital footprints of known toxic content free and open Internet. to Pex, uploads with harmful material can be identified and blocked from ever publishing Rasty Turek, Amadea Choplin, Founder & CEO, Pex COO, Pex Notes: Sources: Pitchbook, Press Releases, Company Website. 9 THE HARDEST WORKING MAJOR IN THE MUSIC INDUSTRY 2 Warner Music Group’s Last Six Months

» Warner Music Group has seen impressive market growth over the past six months, particularly buoyed by a strong start end to 2020 and beginning to 2021 » The Company’s most recent quarter was highlighted by recent corporate / business development endeavors, most notably the partnerships with Feed Media and TME and the acquisition of Zhara Music in late March

Invests in leading Arab indie label Rotana Music Signs publishing deal with Bad Bunny 6.0MM Announces partnership with BPG Music $40.00 collaborator MAG Mkt Cap: $17.7 billion Inks exclusive distribution Stock Price: $32.76 21.9% deal with Sky Digital India Forms strategic $38.00 MARKET CAP APPRECIATION 5.0MM deal with leading (10/1/20 – 3/31/21) Malaysian indie label KRU $36.00 Mkt Cap: $14.5 billion Signs licensing deal 4.0MM Stock Price: $28.17 with Audiomack for Announces leading-edge Partners with $34.00 key African regions publishing partnership with Benjamin Biolay’s Love Renaissance publishing Enters exclusive Partnership b/w Atlantic company in France 3.0MM $32.00 admin deal with Records, Artist Partner Invests in

Grammy-winning Group, and ADA gaming platform Stock Stock Price Greta Van Fleet Roblox’s $520MM Extends worldwide

$30.00 round of funding publishing deal with Daily Daily Trading Volume rising star Saweetie 2.0MM

$28.00

1.0MM $26.00

$24.00 0 10/1/20 10/31/20 11/30/20 12/30/20 1/29/21 2/28/21 3/30/21

Notes: Sources: Capital IQ, Pitchbook, SEC Filings, Press Releases, Company Website. 10 THE HARDEST WORKING MAJOR IN THE MUSIC INDUSTRY 2 Warner Music Q1 Partnerships – Tencent & Feed Media Partnership Overview Partnership Overview » On March 22nd, Warner Music and Tencent » On January 25th, Feed Media Group (FMG) has Music Entertainment announced that they are partnered with Warner Music Group to launch partnering on a new joint venture record label Adaptr, a new platform that allows developers targeting the Chinese market to legally integrate music into their apps » Through this deal, Warner Music's repertoire » Adaptr provides full licensing for on-demand will be made available across all of Tencent's music, allowing businesses to skip direct Formed Partnership With online music platforms in mainland China, Formed Partnership With licensing negotiations and go straight to which includes on-demand streaming channels market with music from popular artists and QQ Music, Kugou Music, and Kuwo Music, songwriters among many others » Launched in 2015, FMG helps business to use music to create more engaging experiences for their customers

This partnership leverages Warner Music’s global resources and This partnership further fuels the democratization of music experience with managing artists, as well as Tencent’s massive production and distribution, allowing the independent community influence in the Chinese entertainment industry better access to interacting with music

Selected Partnership Commentary Selected Partnership Commentary

Our collaboration with Tencent We have shared the same passion Among other things, reducing With Adaptr, there’s no need for “Music has already delivered “and vision by closely collaborating “frictions around licensing will “developers to worry about tremendous results for local and on copyright protection and enable us to accelerate whether they should ask for international artists, and now empowering and protecting artists innovation, support the startup permission or forgiveness. Now we're opening up even more and their work, while unlocking the community, engender they can get the commercial music

opportunities together… This intrinsic value of music. This competition, excite our fans with they want without needing to jump

renewed and expanded cooperation will be a new new and evolving ways to interact through the complex hoops of

“ partnership means we can help industry benchmark for diversified with music, and “ deliver additional music licensing, distribution, and

“ make our artists impossible to “ development and value creation value for our artists and payments — the hurdles that often ignore in one of the world's in China's music industry. songwriters. lead to illegal usage — and just fastest-expanding music markets. focus on creating.

Simon Robson, Cussion Pang, Oana Ruxandra, Jeff Yasuda, President, Recorded Music, WMG CEO, Tencent Music Chief Digital Officer, WMG Co-Founder & CEO, FMG

Notes: Sources: Pitchbook, Press Releases, Company Website. 11 THE HARDEST WORKING MAJOR IN THE MUSIC INDUSTRY 2 Warner Music’s Acquisition of Zhara Transaction Overview Zhara Overview

» On March 24th, Warner Music Group Headquarters: Moscow, Russia announced its acquisition of leading Russian Founded: 2018 indie label Zhara Music Employees: ~100 » Zhara Music will be rebranded to continue its successful operations as Atlantic Records Description: Zhara Music is a leading independent record label in Moscow, Russia, plugging into Warner Music’s global Russia. The label’s roster includes acts such as HammAli & Navai; Acquired network Зомб; Morgenshtern; Slava Marlow; Rauf & Faik; Jony, Elman, Andro, Gafur (RAAVA Music); ЛСП; Idris & Leos; and DAVA. » Zhara co-founder Bahh Tee will lead the label as ‘general producer’; Zhara will operate as a separate office from Warner Music Russia Atlantic Records Overview » Atlantic Records operates a label as a subsidiary of Warner Music Undisclosed » Atlantic Records Russia will be headed by Bahh Tee as General Producer, and the division will operate independently Russian Music Market Rapidly Expanding ($MM) Russian Artist Roster Acceleration of Russian Music Market Highlighted by Rapid HammAli (1) Зомб Morgenshtern Growth in Streaming Revenues & Navai $241.8 Selected Transaction Commentary

[Co-Founder] EMIN and I have EMIN and Bahh Tee have poured 70.3% “been on an incredible journey “their hearts and souls into building CAGR (2016 – 2021) since we founded Zhara less than a label. They’re talented artists, RUSSIAN MUSIC STREAMING $141.7 three years ago. We knew fans sincere fans, and successful loved our music and were hungry businesspeople, and that’s shone for new discoveries, but even we through in the incredible roster $91.0 were surprised by how quickly they’ve built. I’m delighted that

things took off! Becoming part of Bahh Tee has agreed to launch

$61.1 the Warner Music family will help Atlantic Records in Russia –

“ take our support for“ our artists to connecting the world-renowned $29.9 $16.9 the next level both here and brand to a whole new generation internationally. of artists.

2016 2017 2018 2019 2020 2021E Bahh Tee, Alexander Blinov, Notes: Co-Founder, Zhara Music Gnrl. Dir., WMG Russia Sources: Statista, Pitchbook, Press Releases, Company Website. (1) Includes both paid subscription and advertising revenue. 12 RAPID GLOBALIZATION OF STREAMING DRIVING UBIQUITY & FUELING GROW TH 3 Spotify Announces Further Global Expansion, Adding 80 New Markets

» On February 22, Spotify announced it aims to expand its international footprint, bringing its audio streaming service to 80+ new markets representing over a billion people across Asia, Africa, the Caribbean, Europe, and Latin America – bringing the Company’s total markets covered worldwide to 170+ INTERNATIONAL FOOTPRINT EXPANSION

80 NEW MARKETS 1Bn PEOPLE REPRESENTED 36 NEW LANGUAGES

PAKISTAN

NIGERIA

BANGLADESH

GHANA SRI LANKA

KENYA TANZANIA

1 2 3 4 Will give millions of creators a Will offer full global catalog in In most markets, will launch with full Available on Mobile and Desktop chance to discover and build a career new markets at launch and podcast catalog and in others will Web Player at launch and will work in audio creation—and a billion new continuously work with local introduce more from catalog / to introduce Spotify on more fans the chance to hear it rightsholders to expand offerings proprietary creator platform Anchor platforms in coming months

13 CREATOR TOOLS CONSOLIDATION & INVESTMENT WELL UNDERWAY 4 iZotope and Native Instruments Join Forces Partnership Overview iZotope Overview » On March 11th, iZotope and Native Instruments Headquarters: Cambridge, MA announced that they have teamed up to form a Founded: 2001 new technology group Employees: ~200 » Francisco Partners owns both companies and Description: Developer of professional software and hardware tools designed led the partnership initiative to offer audio recording, mixing, broadcast, sound design, and mastering of digital audio workstation programs. The Company » Native Instruments and iZotope will each serves artists ranging from independent musicians to major film Formed Partnership With continue to operate independently, serving the production houses and radio studios. global creator community with the strength of their unique capabilities » Both companies hold a shared vision of a Native Instruments Overview seamless creative experience and are creating Headquarters: Berlin, Germany this unprecedented alliance to shape the future of music-making and audio production Founded: 1996 Employees: ~500 Will Create Shared Vision of Seamless Creative Experience Description: Provider of hardware and software intended for digital music production and performance. The Company’s products include a wide range of hardware, software, and digital tools that are designed to facilitate professional music production.

Selected Partnership Commentary

» Product suite focused on » Product suite focused on audio As more and more people are iZotope and Native Instruments empowering and inspiring artists recording, mixing, broadcast, “getting into music-making, they are “share the same mission to inspire to create with software sound design, and mastering, looking for easy access to the and enable creativity. We both instruments and sounds, smart with market leading post- building blocks for their journey. look to make it easier for hardware, and platforms production audio solutions Joining forces with iZotope brings engineers, producers, and

» Top-selling products include: us yet another step closer to musicians to realize their creative

» Top-selling products include: fulfilling our shared mission to vision.... With iZotope’s intelligent

empower producers of all levels... processing and Native Instrument’s“

I cannot begin to imagine what our innovative offerings, I can’t wait to combined talent and technology “ see what artists will create. can come up with to inspire artists and music creators worldwide.

Constantin Koehncke, Mark Ethier, CEO, Native Instruments Co-Founder & CEO, iZotope Notes: Sources: Pitchbook, Press Releases, Company Websites, MusicWatch. 14 THE SONG AS AN ASSET CLASS – ANOTHER QUARTER OF ACTIVITY 5 Recent Catalog Acquisition Activity

Date Investor Catalog Transaction Details This is one of the most important “deals we have ever made. Carole’s Includes complete collection of iconic songs have been making the world go around for more than 55 3/31 Paul Simon Simon’s music spanning more

years. It’s very special to welcome

than six decades Carole to the Hipgnosis family and it’s an honor to now be the custodians“ of Includes music publishing back these incredible songs that are of 3/31 Zach Crowell catalog, neighboring rights, and genuine cultural importance. producer royalties Merck Mercuriadis, ~$10MM; catalog includes ‘A CEO, Hipgnosis Carole Bayer 3/18 Groovy Kind Of Love’, ‘Nobody Sager Does It Better’, and more Mark's songwriting is a testament to “the enduring power of music in our lives. Throughout the years, we have Includes publishing and recorded all heard Mark's iconic songs in the 3/3 David Crosby music rights theater, on the radio and TV, and of course at the Karaoke bar – and his

music will continue inspiring fans in Includes extended rights for three the future.“ We couldn't be happier to 1/28 Mark James of his top songs extend our creative partnership with Mark.

Jonas Kant, Includes dozens of songs by The 1/26 The Zombies SVP, Sony/ATV Zombies and other writers “ Collective Soul are staples of Incudes existing catalog and a American radio. I dare someone to travel the US for a week with ears

1/18 Collective Soul futures agreement with the perked up and NOT hear one of their

band’s founder, Ed Roland songs. I am very “ happy to have gotten to know Ed [Roland] personally over Majority stake in nearly 500-song the last year. 1/11 Ryan Tedder music catalog of OneRepublic Josh Gruss frontman; rumored to be $200MM CEO, Round Hill

Notes: Sources: Capital IQ, PitchBook, SEC filings, Press Releases, Company Website, Music Business Worldwide. 15 THE SONG AS AN ASSET CLASS – ANOTHER QUARTER OF ACTIVITY 5 Hipgnosis Continues its Growth Trajectory (LSE:SONG) » Hipgnosis Songs Fund (LSE:SONG) has been active to start the year and now owns more than 120 catalogs, comprised of over 60K songs » This quarter, the Company proposed an issuance of up to 1.5Bn shares, amended its credit facility, and raised $100MM in a round led by Morgan Stanley; the combined actions are projected to net Hipgnosis more than $2.3Bn in additional capital to fund further purchases » Streaming now has 450MM+ paid subscribers – DSPs’ growth has accelerated the value of royalties, bringing Hipgnosis’ investment thesis to life

Recent Stock Performance (LSE: SONG) Highlighted Q1 Activity 10.0M 1.40 € Mkt. Cap £1.3Bn EV / LTM Rev 12.8x 1 2 9.0M 1.35 € January 21, 2021 January 21, 2021 8.0M Hipgnosis announced the acquisition of the Hipgnosis proposed the issuance of up to 1.30 € catalog of legendary record producer and 1.5Bn shares over the course of the next 12 mixer Bob Rock. This deal includes 100% of months. At current share price, Hipgnosis’ 7.0M Rock’s producer rights to Metallica music additional issuance would raise over $2Bn 1.25 € 6.0M 1 2 3 4 5.0M 3 1.20 € 4 February 5, 2021 March 18, 2021 4.0M Hipgnosis announces it has raised $100MM Hipgnosis announces the acquisition of 1.15 € in an investment round led by Morgan Carole Bayer Sager’s music catalog, Stanley Investment Management, its first US- which industry representatives value at 3.0M based institutional investor ~$10MM 1.10 € 2.0M

I could see very clearly that streaming was going to take music from being a 1.05 € “ 1.0M discretionary or luxury purchase to being a utility purchase.“ People consume music whether they’re living their best lives or whether they’re experiencing 0.0M 1.00 € challenges and looking for comfort and escape. Jan-04-2021 Feb-04-2021 Mar-04-2021 Merck Mercuriadis, Share Price Volume CEO, Hipgnosis

Notes: Sources: Capital IQ, PitchBook, SEC filings, Press Releases, Company Website, Music Business Worldwide. 16 THE SONG AS AN ASSET CLASS – ANOTHER QUARTER OF ACTIVITY 5 BMG and KKR Announce Acquisition Alliance Partnership Overview BMG Overview

» On March 24th, BMG and KKR struck a deal to Headquarters: Berlin, Germany jointly pursue the acquisition of music Founded: 2008 copyrights Employees: ~1,000 » Through their partnership, KKR and BGM will co-invest in rights across both recorded music Description: BMG provides music publishing and recording rights services and music publishing along with pre-financing, song plugging, marketing support, repertoire licensing, and advisory services in various areas of » This will enable BMG to increase its spending Formed Partnership With rights management for artists and writers. power in the crowded music rights acquisition space, while giving KKR a global partner for music rights with a financial interest in maximizing returns Platform Service Offerings » This relationship does not involve any transfer of equity, nor the formation of a formal joint Music Publishing Books Multi-Platform venture KKR Investments in the Music Industry Recordings Films Licensing Artlist (June 2020) » Artlist is an industry-leading provider of high quality, royalty-free licensed music, footage, and sound effects for video creators Selected Partnership Commentary Jio Platforms (May 2020) » Based in India, Jio provides broadband and telecom services. Offerings BMG has become an innovative Our early partnership with KKR include recorded and live music, television, movies, and events “leader in the music industry by “helped us rapidly become the first embracing digital trends early on, new international music company ByteDance (October 2018) while always placing artists at the of the streaming age… This new » ByteDance develops mobile internet technologies. The Company owns center of everything they do. We relationship with KKR will offer

multiple in-house brands such as Toutiao and TikTok are delighted to reunite with artists and songwriters a well-

BMG’s talented team to pursue funded, financially stable home for

Gibson Guitars (October 2018) future opportunities“ together, their music assets, with the » Gibson Brands manufactures musical instruments. It offers electric leveraging our complementary confidence that their songs and “ guitars, acoustic guitars, and other accessories and lifestyle products platforms. recordings will be managed both professionally and respectfully. AlphaTheta (March 2015) » Formerly known as Pioneer DJ, AlphaTheta manufactures and markets audio gear and equipment and is based in Yokohama, Japan Richard Sarnoff, Hartwig Masuch, Partner, KKR CEO, BMG Notes: Sources: Pitchbook, Press Releases, Company Website. 17 THE ARTIST ECONOMY GOES MAINSTREAM 6 Square’s Acquisition of Majority Stake of TIDAL Transaction Overview TIDAL Overview

» On March 4th, Square announced it had Headquarters: New York, NY entered into a definitive agreement to acquire Founded: 2014 a majority ownership stake in TIDAL Employees: ~300 » Square expects to pay a mix of cash and stock to fund the transaction. Additionally, Square Description: TIDAL is an artist-led global music and entertainment platform Acquired Majority plans to name TIDAL board member and that brings artists and fans closer together through unique Stake of shareholder Shawn “JAY-Z” Carter to Square’s original content and exclusive events. The Company’s streaming Board of Directors subject to closing service has more then 70 million songs and 250K high-quality videos in its catalog and is currently available in 56 countries. » TIDAL will operate independently within Square, alongside the Seller and Cash App ecosystems » The acquisition extends Square’s purpose of Sound Quality Offerings $297MM economic empowerment to a new vertical: musicians Standard HiFi Master

Platform Overview » Easily accessible and » Allows you to stream » Unauthenticated, the best compromise audio using the unbroken sound quality 70MM+ Songs – Ad-Free, Anytime & Anywhere between data usage lossless format FLAC with the highest » With over 70 million tracks, exclusive releases, and tons of and sound fidelity at 1400+ Kbps possible resolution interviews and music videos, TIDAL brings you closer to the

artists you listen to – completely ad-free and on any device Selected Transaction Commentary

Mixes & Radio It comes down to one simple I said from the beginning that » Get a personalized curation of songs and videos with My Mix or “idea: finding new ways for artists “TIDAL was about more than just discover new music with Artist Radio to support their work. New ideas streaming music, and six years

are found at intersections, and later, it has remained a platform we believe there’s a compelling that supports artists at every point Hand-Picked Playlists one between music and the in their careers. Artists deserve » Check out original playlists hand-picked by our team of experts economy. I knew TIDAL was better tools to assist them in their

or stream guest playlists curated by the artists you love something special as soon as I creative journey. This partnership

“ experienced it, and it will “ will be a game-changer for many continue to be the best home for [and] I look forward to all this Videos & Livestreams music, musicians, and culture. new chapter has to offer. » Watch over 250,000 high-quality videos, including music videos, original content, exclusive livestreams, and events Shawn “JAY-Z” Carter, Jack Dorsey, Co-Founder & CEO, Square Co-Founder, TIDAL Notes: Sources: Pitchbook, Press Releases, Company Website. 18 THE ARTIST ECONOMY GOES MAINSTREAM 6 Giving Voice to the Connection between Artist and Fan – Profiling Clubhouse, Locker Room, & Stationhead

Headquarters: San Francisco, CA Headquarters: Los Angeles, CA Headquarters: Brooklyn, NY Founded: 2020 Founded: 2018 Founded: 2015 CEO: Paul Davidson CEO: Howard Akumiah CEO: Ryan Star Employees: ~40 Employees: ~15 Employees: 13 Total Users (1): ~10,000,000 Total Users (1): ~19,000 Total Users (1): ~500,000 Status: Private (Andreessen, TQ Status: Private (Acquired by Spotify Status: Private Ventures, Foundational in March 2021) Capital, among others)

DESCRIPTION / COMMENTARY DESCRIPTION / COMMENTARY DESCRIPTION / COMMENTARY » Founded in 2020, Clubhouse is a new audio- » Locker Room is an app that provides users » Founded in 2015, Stationhead is an iOS, first social app that makes it easy to talk to with an all-access pass to exclusive Android, and Web Platform that transforms other people conversations with sports insiders and fans the traditional radio model, allowing anyone » Organized into a series of user-created » The app allows users to react instantly to to host and stream a radio show, feature “rooms” where people can talk with others, sports news as it happens, gather friends in 45MM+ songs, and create an engaging some of whom are speakers and others watch parties for games, and rep favorite audio experience with their fans who are just listening teams and find a community » Stationhead allows anyone to broadcast live, take callers, earn money, and play music » Users can move fluidly between » Locker Room was first introduced in — Up to 4 people can share the air at conversations as speakers or listeners, October 2020 by Betty Labs, a forward- once, allowing each person to speak and covering a myriad of topics leaning team of developers, engineers, be heard at the same time » Celebrities such as Mark Cuban and Kevin product thinkers, and sports fans focused on creating groundbreaking live experiences — Hosts can earn financial support from an Hart have made appearances on the app to audience through in-app tips date and the Company has been featured in » Betty Labs (along with Locker Room) was — Through Stationhead's patented publications like The New York Times, acquired by Spotify in March 2021 for an technology, hosts can stream music directly Forbes, TechCrunch, CNBC, and WIRED undisclosed amount (rumored to be from Apple Music and Spotify accounts » Raised $100MM in January 2021 at a post- ~$50MM); the acquisition builds on without the risk of copyright infringement Spotify’s work to create the “future formats money valuation of $1Bn in a deal led by » Celebrities like Cardi B, Raekwon, Trey Songz, of audio” and will accelerate its entry into Andreessen Horowitz; currently in acquisition and Francis and the Lights have used the the live audio space talks with Twitter at a $4Bn valuation platform and it has been featured in Notes: Billboard, TechCrunch, WSJ, and Complex Sources: Pitchbook, Press Releases, Company Websites. 1) Represents total users as of Q1 2021. 19 THE ARTIST ECONOMY GOES MAINSTREAM 6 The Rise of the Non-Fungible Token – NFTs & Music

What? Why? When? Where?

» NFTs have propelled themselves » While they can be used as a creative » NFTs first came into being with » A large number of marketplaces into pop culture in recent extension of a song or album, the rapid rise the creation of blockchain are currently dedicated to the months, spanning sports, art, of NFTs is almost certainly attributable to » While they had initially gained sale of music-related NFTs and – of course – music how financially lucrative they can be particular steam in the fine arts » These include OpenSea, Rarible, » NFTs, or “non-fungible tokens,” » In today’s streaming world where artists community, an NFT feeding Nifty Gateway, and SuperRare – are unique digital commodities collect fractions of a penny per stream, NFTs frenzy has since taken off across although entirely digital, they that can be exchanged between provide artists a way to earn additional multiple avenues and genres in are not unlike traditional auction people through blockchain income while selling digital collectables 2021 houses such as Christie’s or » In the case of music, NFTs have » Meanwhile fans can in turn take pleasure in » As it relates to music, many Sotheby’s ownership of these collectables and use the generally taken the form of attribute the NFT explosion due » A digital wallet set up with NFT as an investment opportunity as well songs, images, and videos to COVID cryptocurrency (generally Ether) given its limited nature is needed in order to purchase » All NFTs come with certificates of » According to electronic pop artist RAC, “The » Before the pandemic, touring most NFTs ownership and authenticity play count isn’t really a good measure of had been a key income stream which cannot be hacked, value [of artists]. I listen to my favorite for artists, which has since been » Some NFTs (generally higher tier, tampered with, or cloned due to albums once a month. I get tremendous completely upended unique ones) are put on open their existence only in digital value out of them, yet it’s not reflected in » Creating and selling NFTs has auction with a reserve price, form within blockchain their price.” helped a plethora of artists while others have a set price and » For this reason, NFTs have become partially fill this gap with a can be bought immediately especially powerful for smaller artists to potentially critical new form of earn income from loyal fans income

Who?

Recent High-Profile Music-Related NFTs:

3/1: Sold $6MM 3/3: Sold $12MM 3/9: Sold $4MM 3/12: Released 4/4: Sold $2MM worth of NFTs worth of NFTs worth of NFTs record as NFT worth of NFTs

Notes: Sources: Press Releases, Company Websites. 20 DIGITAL MUSIC TRENDS AND INSIGHTS MUSIC VALUE CHAIN: ArtistArtist Services Services Production & The Evolving Music Landscape Live ConcertLive Concert Engagement Publishing Distribution & &Rights Rights Engagement StreamingStreaming Tools ManagementManagement Tools

`Major Labels `Large Scale Publishers `Indie Labels Live Concert Streaming

DSPs DIY & Distribution Distributors

`Rights Management Artist & Label Services Artist Platforms

DAWs, Creator Platforms & Services AI Tools & Analytics Fan Engagement Video & Creative Live Event Mgmt.

Notes: This is a representative list and may not include all relevant companies; please email [email protected] for inclusion 21 DIGITAL MUSIC TRENDS AND INSIGHTS Q1 2021: M&A and Financing Activity

M&A Transactions ($MM) Financings ($MM)

Ann. Enterprise Ann.Ann. Enterprise Acquirer Target InvestorAcquirer Target Amount Date Value DateDate Value

3/30 NA 3/31 $50

3/11 NA 3/11 $450

3/10 NA 3/10 $11

3/4 $297 3/3 $4

2/1 $430 3/3 $40

1/28 $30 2/22 $55

1/28 NA 2/10 $57

1/22 NA 2/8 $9

Notes: Sources: PitchBook, Capital IQ, Wall Street Research, Music Business Wire. 22 DIGITAL MUSIC TRENDS AND INSIGHTS Top 10 Leaders in Private Funding Raised-to-Date

Company Headquarters Founded Amt. Raised ($MM) (1) Company Description

Developer of an online music platform offering free Hangzhou, China 2013 $1,410 and paid online streaming and downloads

Shanghai, China 2012 ~$652 Provider of an online audio streaming platform Ximalaya

Developer of a music streaming platform designed to Berlin, Germany 2007 $507 offer audio distribution and music sharing

Developer of a royalty-free music library to provide Stockholm, Sweden 2009 $476 production music for films, TV, and YouTube

The merger of TouchTunes and PlayNetwork created New York, NY 2017 ~$324 Octave, the largest in-venue, interactive music and entertainment platform

Provider of music and video distribution services Paris, France 2005 ~$217 intended for artists and labels to improve sales

Provider of music streaming services designed to Paris, France 2006 $187 offer personalized music tracks

Developer of a platform designed for musicians to New York, NY 2013 $160 create music, connect and collaborate easily

Provider of music distribution and marketing services Brooklyn, NY 2017 $120 to create partnerships between artists and brands

Developer of a global music distribution and rights Los Angeles, CA 2012 $60 management platform

Notes: Sources: PitchBook, LinkedIn, company websites. 1) Includes debt and equity financing. 23 DIGITAL MUSIC TRENDS AND INSIGHTS Selected Active Investors

Investor Type Investor Logos

Accelerators / Seed

Venture Capital / Private Equity

Corporate Investors

Alternative Investors

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 24 DIGITAL MUSIC TRENDS AND INSIGHTS Most Active Deal Makers

Company Headquarters Number of Deals Investments & M&A

New York, NY 26

New York, NY 19

Santa Monica, CA 18

Shenzhen, China 15 Ximalaya

Stockholm, Sweden 9

Cupertino, CA 6

New York, NY 6

Seattle, WA 5

New York, NY 5

Beverly Hills, CA 5

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 25 TABLE OF CONTENTS

I. GCA Overview

II. Digital Music Trends and Insights

III. Public Markets

IV. M&A and Financings

V. Public Comps Backup

26 PUBLIC MARKETS Stock Performance Q1 2021 Share Price Performance

30%

20% 15.2% 10% 2.1% 1.5% - (0.4%) (1.2%) (4.3%) (10%) (4.3%) (9.1%) (20%) Jan-21 Feb-21 Mar-21

Music DSPs Live Creator Tools Digital Content Advertising Data & High-Growth Publishers Entertainment & Software & Marketplaces Analytics SaaS

Core Music Technology Platforms & Relevant Categories

Music Live Creator Tools Digital Content DSPs Advertising Data & Analytics High-Growth SaaS Publishers Entertainment & Software & Marketplaces

2.1% (4.3%) 15.2% (0.4%) 1.5% (1.2%) (4.3%) (9.1%) Q1 2021 Share Price Performance

Notes: Source: Capital IQ. 27 PUBLIC MARKETS Trading Metrics Enterprise Value / 2021E Revenue (1) Enterprise Value / 2021E EBITDA (1)

26.1x 28.7x

22.8x 21.2x 18.9x 14.0x 15.4x 11.8x 7.6x 7.1x 7.1x 4.5x 3.7x 2.9x 2.3x NM

High-Growth Advertising Digital Data & DSPs Live Creator Tools Music Digital DSPs Data & Creator Tools Music Live Advertising High-Growth SaaS Content & Analytics Entertainment & Software Publishers Content & Analytics & Software Publishers Entertainment SaaS Marketplaces Marketplaces

Core Music Technology Platforms & Relevant Categories

Music Live Creator Tools Digital Content DSPs Advertising Data & Analytics High-Growth SaaS Publishers Entertainment & Software & Marketplaces

2.3x / 15.4x 4.5x / 22.8x 3.7x / 11.8x 2.9x / 18.9x 7.6x / 28.7x 14.0x / 7.1x 7.1x / 21.2x 26.1x / NM 2021E Revenue / 2021E EBITDA Multiple (1) Notes: Sources: Capital IQ, Wall Street Research. Multiples <0x and >50x considered NM. 1) Multiples represent median figures. 28 TABLE OF CONTENTS

I. GCA Overview

II. Digital Music Trends and Insights

III. Public Markets

IV. M&A and Financings

V. Public Comps Backup

29 M&A AND FINANCINGS Precedent M&A Transactions ($MM) Announced Enterprise EV / Revenue EV / EBITDA Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description Developer of a social audio application where sports fans can spontaneously be joined by 3/30/21 NA NA NA NA NA accomplished insiders and athletes Developer of professional audio software and hardware tools designed to offer audio 3/11/21 NA NA NA NA NA recording, mixing, broadcast, sound design, and mastering programs Operator of a music and sound design company, providing soundtracks for advertisements 3/10/21 NA NA NA NA NA on TV and radio, online content, and VR Operator of a music streaming application that provides lossless audio and high definition 3/4/21 $297 NA NA NA NA music videos with curated editorial Provider of an online advertising platform, offering access to audiences from over 2,050 2/17/21 $230 NA NA NA NA radio stations Operator of an independent music services company, providing publishing, label services, 2/1/21 $430 NA NA NA NA and neighboring rights Operator of an independent record label company, holding the first recordings of many 1/28/21 $30 NA NA NA NA famous rock 'n roll artists

1/28/21 NA NA NA NA NA Provider of advertising and digital marketing services to artists

Manufacturer of hardware and software intended for computer-based music production 1/22/21 NA NA NA NA NA and performance Operator of livestreaming concert platform designed to help artists manage and sell tickets 1/19/21 NA NA NA NA NA directly to their most dedicated fans

12/30/20 $300+ NA NA NA NA Provider of on-demand postcasts and audio recordings

12/17/20 $2 NA NA NA NA Owner and operator of audio production studio in Italy

Operator of a website that provides sample music libraries for producers and musicians 12/16/20 NA NA NA NA NA worldwide

12/8/20 NA NA NA NA NA Provider of independent music merchandising services

12/4/20 NA NA NA NA NA Provider of distribution and label services to the music industry

11/20/20 NA NA NA NA NA Mobile application allowing users to record videos with professional vocal effects

11/16/20 NA NA NA NA NA Provider of highly flexible music liscencing services

Provider of hosting and ad-insertion capabilities for publishers and targeted ad 11/10/20 $235 NA NA NA NA sales for brand partners Creator, producer and distributor of music-based products and services for broadcast media 11/2/20 Major Triad Media NA NA NA NA NA use

10/29/20 ~$6 NA NA NA NA Group of web-oriented businesses specializing in merchandise personalization

Notes: Sources: Capital IQ, PitchBook, Wall Street Research, Music Business Wire. 30 M&A AND FINANCINGS Precedent M&A Transactions (cont.) ($MM) Announced Enterprise EV / Revenue EV / EBITDA Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description

10/23/20 $39 NA NA NA NA Manufacturer and distributor of automobile speakers

10/21/20 NA NA NA NA NA Independent German live music promotion company and event agency

10/16/20 $39 NA NA NA NA Provider of artist management and music production services

9/24/20 NA NA NA NA NA Provider of a podcast service that uses AI to customize playlists for listeners

9/21/20 $4 NA NA NA NA Provider of comprehensive solutions across music-based marketing

9/15/20 NA NA NA NA NA Operator of a hip-hop news, reviews and commentary outlet

9/10/20 NA NA NA NA NA Operator of a full-service music publishing company

American record label established by record producer J.R. Rotem in conjunction with 9/4/20 NA NA NA NA NA Warner Music

8/27/20 NA NA NA NA NA Provider of music rights data, administration and management services

Provider of subscription digital music services designed to give members advertisement- 8/25/20 $70 NA NA NA NA free access to millions of songs

8/19/20 NA NA NA NA NA High end mastering studio, founded in 1998 by mastering engineer Barry Grint

Operator of a social media publishing platform intended to create and curate content 8/14/20 ~$85 NA NA NA NA shareable on mobile-first platforms

7/20/20 NA NA NA NA NA Operator of a music production company with 3,500+ songs in its catalog

7/14/20 NA NA NA NA NA Operator of a boutique music placement and licensing company

5/19/20 NA NA NA NA NA Operates as a music publishing company in South Africa

Provides digital solutions for identifying musical content, recommending music and 4/23/20 NA NA NA NA NA anticipating music-related trends Developer of a news narration platform designed to eliminate the gap between writing for 3/23/20 $9 NA NA NA NA print and the digital audio market Operator of a media-tech company intended to deliver innovative rights management and 3/20/20 $38 NA NA NA NA distribution solutions to the music and video industries South Korean entertainment company, offering a record label, talent agency, music 2/21/20 $75 3.0x NM 23.5x NM production, event management and concert production services

2/20/20 Formax $5 NA NA NA NA Provider of sound recording and music publishing services

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 31 M&A AND FINANCINGS Precedent M&A Transactions (cont.) ($MM) Announced Enterprise EV / Revenue EV / EBITDA Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description

2/5/20 $250 NA NA NA NA Owns and operates a website and podcasting network

1/29/20 $450 NA NA NA NA Owns and operates a sports and culture blogging website and podcast network

1/22/20 NA NA NA NA NA Provider of technology and services for content owners, record labels and distributors

1/2/20 $868 NA NA NA NA Hospitality company providing fans access and tickets to premier live events

10/18/19 $19 NA NA NA NA Operates regional commercial radio broadcast networks in Western Australia

Developer of an online music production marketplace designed to connect and hire top 9/12/19 NA NA NA NA NA musicians Specializes in the development, acquisition, production, financing and distribution of 8/22/19 $3,800 3.8x 3.2x 33.9x 15.2x entertainment content

8/6/19 $10 NA NA NA NA Organizes and operates the largest country music festival in the United States

Cloud-based application software for music creators, artists, producers and music rights 7/30/19 NA NA NA NA NA holders Operates an online portal for musicians and dealers to buy, sell and trade new, used and 7/22/19 $275 7.6x NA NA NA vintage gear and guitars

5/23/19 NA NA NA NA NA Operates a multi-channel network that enables users to monetize their music

4/25/19 Salerton $107 NA NA NA NA Owns and operates a music library

Global music company that publishes music for television, film, advertising and corporate 4/11/19 $217 5.7x NA 15.1x NA video productions

3/27/19 $200 NA NA NA NA Provider of music distribution and monetization services for independent musicians

3/26/19 $56 NA NA NA NA Produces podcasts, focusing on creating scripted, story-driven programming

2/19/19 NA NA NA NA NA Provider of music composition, licensing and rights management solutions

Provider of music distribution, marketing and technology services intended to help 2/12/19 NA NA NA NA NA independent labels and content owners manage their music Privately-owned radio company, which operates radio stations in Maryland, Delaware and 2/6/19 $19 NA NA NA NA New Jersey

2/6/19 ~$200 NA NA NA NA Digital media company focused on producing narrative podcasts

2/6/19 ~$140 NA NA NA NA Operates a mobile application and a website that broadcasts short audio clips

Notes: Sources: Capital IQ, PitchBook, Wall Street Research.. 32 M&A AND FINANCINGS Precedent M&A Transactions (cont.) ($MM) Announced Enterprise EV / Revenue EV / EBITDA Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description Operates an online advertising technology company that connects brands and audiences 1/30/19 $162 0.5x 0.4x 10.7x 3.3x through digital advertising and content distribution

1/24/19 NA NA NA NA NA Offers on-demand music, audio streaming and AI technology

Provides music and audio streaming technologies and services for businesses and 1/22/19 $40 NA NA NA NA individuals

12/7/18 NA NA NA NA NA Owns and operates recording studios

9/24/18 $3,454 2.3x 2.1x NM NM Provides music discovery platform services in the United States and internationally

9/13/18 $55 NA NA NA NA Offers podcasts publishing services

Provides music for major domestic and overseas music platforms such as iTunes, YouTube 7/25/18 $51 0.7x NA NA NA and Spotify

7/23/18 Tron $140 NA NA NA NA Develops Internet content delivery technologies for customers worldwide

6/26/18 $218 2.7x NA NM NA Provides music distribution services in South Korea

6/11/18 $10 NA NA 10.0x NA Provides sound design, casting, music and writing services (1) 5/21/18 $2,269 7.8x NA 20.6x NA Operates as a music publishing company

Owns and operates Newcap Radio, which is one of Canada's leading radio broadcasters with 5/2/18 $397 3.0x NA 9.7x NA 101 broadcast licenses

5/2/18 $69 NA NA NA NA Organizes live music events in Brazil

Music licensing platform that enables content creators, aggregators and digital music 4/12/18 NA NA NA NA NA services to identify and pay royalties to music publishers Manages licensing and commercial releases of video game music, including bespoke PR and 4/9/18 $6 0.7x NA 6.7x NA marketing for the artists and composers

4/4/18 $50 NA NA NA NA Global music publisher headquartered in London

3/23/18 NA NA NA NA NA Operator of music streaming application in India

Provides monthly subscription packages to license music tracks and sound effects for 1/10/18 NA NA NA NA NA creative projects

12/11/17 $400 7.1x NA NA NA Developer of an application that connects artists and fans through music discovery

Provides audio and lighting products include musical instruments, live sound equipment, 12/1/17 $28 1.0x NA NA NA recording products and accessories for music retailers

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 1) Sony acquired the remaining 60% of EMI Music Publishing in this transaction. 33 M&A AND FINANCINGS Precedent M&A Transactions (cont.) ($MM) Announced Enterprise EV / Revenue EV / EBITDA Date Acquirer Target Value (EV) LTM NTM LTM NTM Target Description

10/15/17 $295 4.1x NA NM NA Investment holding company active in the entertainment and music sectors

9/22/17 $245 NA NA NA NA Operates as an independent music publisher

8/31/17 $50 1.7x NA NM NA Provides radio music services in the United States and internationally

6/19/17 $18 NA NA NA NA Provides rights management, production, publication and live event services Music Catalogue Provides ticketing, marketing and analytics tools that help event promoters and venues 6/9/17 $200 NA NA NA NA book talent and streamline operations

5/9/17 $11 NA NA NA NA Provides an online service that turns iPhones into wireless karaoke microphones

5/3/17 $26 NA NA NA NA Distributor of a high-quality, focused roster of independent record labels

4/13/17 $626 1.3x 1.3x 8.0x 6.7x Provides in-store media solutions in the United States and internationally

2/13/17 $922 1.4x 1.3x 6.3x 5.9x Engages in music distribution, commercial systems, ICT and other businesses in Japan

2/2/17 $2,813 2.3x NA 8.6x NA Provides radio broadcasting services in the United States

Offers broadcasting services and operates thematic channels for the digital pay-television 1/30/17 $289 1.7x NA 7.5x NA market in France

1/4/17 $1,200 4.4x NA NA NA Provider of music licensing and administration services

Broadcasts live events and world premieres from stages, festivals and music events in 1/3/17 $8 NA NA NA NA Mexico, Europe, Africa, Asia and Australia Provider of entertainment data and technology for music, consumer electronics, 12/20/16 $560 NA NA NA NA automakers, media and cable and satellite operators

11/23/16 NA NA NA NA NA Owns and operates an online music streaming, sharing and distribution platform

Identifies and collects money earned by songwriters and music publishers for use of their 7/21/16 NA NA NA NA NA works in YouTube videos Developer of an application programming interface designed to deliver powerful music and 5/12/16 NA NA NA NA NA licensing capabilities

Summary Statistics Mean 3.1x 1.7x 13.4x 7.8x

Median 2.5x 1.3x 9.9x 6.3x

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 34 M&A AND FINANCINGS Precedent Financings ($MM) Announced Amount Enterprise Date Investor Target Invested Value (EV) Target Description Provider of music distribution and marketing services intended to facilitate partnerships between artists 3/31/21 $50 NA and brands

3/11/21 $450 $1,400 Developer of a royalty-free music library, providing production music for films, TV, and YouTube

3/10/21 $11 NA Provider of a digital platform intended to help share music clips in text messages

3/3/21 $4 NA Developer of a music technology platform intended to allow artists to monetize their music

3/3/21 $40 NA Operator of a music streaming platform

2/22/21 $55 $398 Developer of a music creation platform designed to produce, connect, and collaborate easily

Provider of a digital rights technology that enables transparency and accuracy to license and manage 2/10/21 $57 NA content

2/8/21 $9 NA Provider of virtual reality, live music performance experiences

12/17/20 Quincy Jones $33 NA Ticketing technology platform for music and events

Blends broadcast technology and real-time gaming graphics to transform artists into digital avatars in a 11/19/20 NA NA virtual world

11/1/20 $165 NA Retailer of musical instruments

10/27/20 NA NA Developer of a digital discovery platform intended to change the music business with artificial intelligence

Developer of a music streaming platform built for connecting fans directly with artists in familiar music 10/23/20 ~$1 NA player interfaces

10/22/20 NA NA Provider of a range of audio production services for film, TV, gaming and streaming

10/21/20 $45 NA Developer of audio software for musicians, composers, producers & sound designers across all genres

9/21/20 ~$12 NA Developer of an online music services platform designed to offer unlimited music streaming

9/15/20 ~$5 NA Developer of speaker systems designed to offer quality audio for automotive and professional consumers

9/11/20 Undisclosed ~$6 NA Operator of a lyrics interpretation platform that helps people share facts and insights about songs

9/10/20 $9 NA Subscription-based audio content platform, offering audio journalism content through its app

9/2/20 $50 $530 India's largest commercial music streaming service

Notes: Sources: Capital IQ, Music Business Worldwide, PitchBook, Wall Street Research. 35 M&A AND FINANCINGS Precedent Financings (cont.) ($MM) Announced Amount Enterprise Date Investor Target Invested Value (EV) Target Description

9/1/20 $8 NA Manufacturer of outdoor sound systems

Baron Davis, Kevin Lee, Developer of an enterprise platform intended to provide distribution and payments solutions to artists and 8/26/20 $10 NA Mark Gillespie their teams Operator of a music licensing platform designed to help artists and songwriters to license and monetize 8/24/20 St. Baker Family Office $30 NA their content Developer of a music streaming platform that assists artists in publishing, monetizing and distributing their 7/15/20 ~$3 NA work directly to fans

7/2/20 NA NA Provider of a mobile application that facilitates royalties sharing between artists

A royalty-free music and sound effects company that licenses content to creators on YouTube and other 6/29/20 NA NA platforms

6/2/20 ~$7 NA Developer of an entertainment application designed to support fan communities

3/3/20 #REF! $56 NA Developer of a music-mixing application designed to enable editing and mixing of songs

An audio platform that enables customers to create, record, promote and share their original content across 2/10/20 $75 NA the Internet

1/31/20 $16 NA Developer of a multi-channel virtual entertainment platform for live concerts

(1) Operator of an online music distribution platform, offering unlimited releases to all major digital music 1/20/20 $1 $19 stores

1/3/20 $37 NA Provides an OTT streaming service that combines frame-accurate synchronization and ultra-low latency

12/19/19 $9 NA Offers artist management and music production services

Operates as an entertainment media company, enabling aggregation, licensing and delivery of music, video 11/6/19 $30 NA and media content

10/24/19 $30 $200 Developer of an online subscription podcast platform

9/11/19 $20 NA Operator of music streaming application in India

9/6/19 $700 NA Developer of an online music platform offering free and paid streaming and downloads in China

8/27/19 ~$30 NA Developer of a curated mobile platform designed to facilitate on-demand audio and podcasts

Developer of a global music distribution and rights management platform intended to reach music fans via 8/13/19 $40 NA hundreds of digital, physical and mobile retailers LiveXLive Media Inc is the premium internet networks devoted to live music and music-related video 7/25/19 $10 NA content

Notes: Sources: Capital IQ, PitchBook, Wall Street Research 1) Strategic investment to help the company launch Bluebox . 36 M&A AND FINANCINGS Precedent Financings (cont.) ($MM) Announced Amount Enterprise Date Investor Target Invested Value (EV) Target Description

7/16/19 $60 $660 Operates a platform enabling content creators and artists to fund their work

7/1/19 $30 NA Developer of an online audio mastering software designed to refine and polish finished stereo mixes

Developer of a royalty-free music library that provides cutting edge production music for films, TV and 7/1/19 $20 $370 YouTube content

5/21/19 $25 NA Provider of event organization services intended to offer public music entertainment

Developer of music and video streaming application with more than 5 million tracks that can be streamed 3/27/19 $20 NA free of charge

2/6/19 $100 NA Developer of a platform designed to discover, organize and listen to podcasts Ximalaya Provider of music and video distribution services intended for artists and labels to turn audience 1/2/19 $148 $400 engagement into sales

11/2/18 $150 NA Provider of an education platform intended to offer one-on-one tutoring services of music related aspects

10/17/18 NA NA Operator of a SaaS-based musical platform intended to distribute music at a fraction of the price

10/12/18 $600 NA Developer of an online music platform offering free and paid online streaming and downloads in China

Developer of a music streaming platform that assists artists in publishing, monetizing and distributing their 8/8/18 $6 NA work directly to fans

8/2/18 $186 $1,161 Provider of music streaming services designed to offer personalized music tracks

7/1/18 $618 $3,710 Developer of an online audio streaming platform Ximalaya Operates an app allowing users to upload their music directly to music streaming platforms and track how 5/22/18 NA NA many people are listening to their music and how much money it generates Provider of curated direct-to-consumer and B2B services, including audio television channels, radio 5/2/18 $31 NA stations, music apps and SVOD content

4/25/18 $14 NA Developer of an audio platform designed to deliver contextual recommendations for listeners of podcasts

Developer of an audio streaming platform designed for radio presenters and DJs to upload their shows and 4/16/18 $12 NA reach a new audience

3/1/18 $10 NA Operates online music platforms that enable streaming, online karaoke and live streaming services in China

11/15/17 $4 NA Operator of a digital music distribution platform

Operator of an entertainment and sports agency, specializing in talent management, literary and strategic 10/6/17 $26 NA marketing and consulting services

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 37 M&A AND FINANCINGS Precedent Financings (cont.) ($MM) Announced Amount Enterprise Date Investor Target Invested Value (EV) Target Description Developer of a digital media network platform intended to help listeners better understand the world and 9/11/17 ~$20 $75 each other Provider of a video analytics and rights management platform designed to quickly find and claim all copies 8/17/17 $7 $9 of your content Provider of an online radio application designed to provide access to sports, music, talk and news streams 8/11/17 $50 NA from around the world

8/2/17 $400 $5,000 Operator of a global entertainment, sports and content company

Developer of a global music distribution and rights management platform intended to reach music fans via 7/19/17 $20 NA hundreds of digital, physical and mobile retailers Developer of a voice interactive storytelling application designed to synchronize theme music and sound 7/17/17 NA NA effects using voice recognition Developer of an enterprise platform intended to provide distribution and payments solutions to artists and 5/26/17 $8 $18 their teams

6/9/17 $452 NA Radio broadcasting company that offers music streaming and automated music recommendation services

5/8/17 $87 $647 Provider of publishing, recording and rights management platform

4/11/17 $109 $1,161 Developer of an online music platform, offering free and paid online streaming and downloads in China

3/20/17 $4 NA Operator of an online platform intended to seamlessly collect royalties globally

3/15/17 $24 NA Provides Internet music, content planning and music distribution services in South Korea

A music-streaming application created to provide lossless audio and high definition music and videos with 1/23/17 $45 NA curated editorial Provider of music distribution and marketing services, facilitating partnerships between artists and the 12/31/16 NA NA brands Developer of an online music marketing platform designed to provide data management, reporting and 8/29/16 NA NA analytics services

Notes: Sources: Capital IQ, PitchBook, Wall Street Research. 38 TABLE OF CONTENTS

I. GCA Overview

II. Digital Music Trends and Insights

III. Public Markets

IV. M&A and Financings

V. Public Comps Backup

39 PUBLIC COMPS BACKUP Public Market Comparable Companies

($MM, except per share data) Trading Metrics Operating Metrics CIQ Stock Price Market Cash & Total Enterprise EV / Revenue EV / EBITDA Revenue Growth EBITDA Margin Revenue Company 3/31/2021 Cap ST. Invest. Debt Value (EV) CY20A CY21E CY20A CY21E 20A/19A 21E/20A CY20A CY21E

Music Publishers Sony Group Corporation $109.60 $135,823 $12,841 $24,577 $148,051 1.8x 1.8x 12.9x 12.4x 2% 1% 14% 15%

Vivendi SE $35.48 $38,503 $1,355 $9,409 $47,379 2.4x 2.4x 17.3x 15.2x 10% 2% 14% 16%

Warner Music Group Corp. $37.73 $19,407 $566 $3,760 $22,618 5.1x 4.4x 26.4x 23.5x (1%) 14% 19% 19%

Hipgnosis Songs Fund Limited $1.71 $1,831 $263 $106 $1,673 12.8x 10.5x 18.2x 15.6x NA 22% 70% 67%

YG Entertainment Inc. $39.27 $718 $144 $26 $665 2.8x 2.3x 30.6x 15.6x 7% 26% 9% 14%

SM Entertainment Co. $26.60 $623 $360 $52 $484 0.9x 0.8x 6.6x 5.9x (9%) 16% 14% 14%

Summary Statistics Mean 4.3x 3.7x 18.7x 14.7x 1% 14% 24% 24% Median 2.6x 2.3x 17.8x 15.4x 2% 15% 14% 15%

DSPs Apple Inc. $134.32 $2,254,977 $76,826 $112,043 $2,290,194 8.0x 6.8x 28.2x 23.0x 7% 17% 28% 30%

Amazon.com $3,340.88 $1,684,193 $84,396 $101,229 $1,701,026 4.5x 3.6x 30.9x 23.4x 36% 24% 15% 15%

NetEase $112.62 $77,823 $14,317 $2,988 $68,281 6.1x 5.0x 25.6x 22.6x 32% 21% 24% 22%

Spotify Technology S.A. $284.11 $54,041 $2,061 $744 $52,724 5.5x 4.8x NM NM 27% 15% (2%) (1%)

Sirius XM Holdings Inc. $6.38 $26,173 $71 $8,967 $35,069 4.4x 4.2x 14.1x 13.6x 2% 6% 31% 31%

Tencent Music Entertainment Group $18.97 $32,108 $3,986 $842 $29,038 6.5x 5.4x 37.7x 32.7x 22% 20% 17% 17%

Stingray Group Inc. $6.01 $433 $8 $284 $709 3.5x 3.1x 7.7x 7.5x (15%) 13% 45% 41%

LiveXLive Media $3.99 $301 $17 $24 $308 5.9x 3.4x NM NM 39% 72% (9%) (2%)

Summary Statistics Mean 5.5x 4.5x 24.0x 20.5x 19% 23% 19% 19% Median 5.7x 4.5x 26.9x 22.8x 25% 19% 20% 19%

Notes: Sources: Capital IQ, Wall Street Research. Multiples <0x and >50x considered NM. 40 PUBLIC COMPS BACKUP Public Market Comparable Companies (cont.)

Live Entertainment Live Nation Entertainment $81.78 $17,699 $2,538 $6,461 $22,233 12.0x 3.7x NM NM (84%) 224% NM 6% iHeartMedia $19.64 $2,682 $723 $6,918 $8,885 3.1x 2.7x 17.4x 11.8x (21%) 14% 18% 23%

Madison Square Garden Sports Corp. $183.14 $4,417 $71 $1,094 $5,443 10.9x 9.9x NM NM 125% 10% NM NM

Eventbrite $21.98 $2,043 $506 $223 $1,761 16.4x 8.8x NM NM (67%) 87% NM 2%

Madison Square Garden Entertainment Corp. $91.63 $2,213 $1,451 $865 $1,652 6.8x 2.4x NM NM (77%) 183% NM (14%)

Summary Statistics Mean 9.8x 5.5x 17.4x 11.8x (25%) 104% 18% 4% Median 10.9x 3.7x 17.4x 11.8x (67%) 87% 18% 4%

Creator Tools & Software Apple Inc. $134.32 $2,254,977 $76,826 $112,043 $2,290,194 8.0x 6.8x 28.2x 23.0x 7% 17% 28% 30%

Microsoft Corporation $261.15 $1,969,650 $131,989 $82,782 $1,920,443 12.8x 11.1x 27.7x 23.6x 12% 15% 46% 47%

Samsung Electronics Co. $74.16 $503,737 $114,542 $18,578 $415,379 1.9x 1.8x 6.9x 5.8x 9% 8% 28% 30%

Adobe Inc. $515.84 $247,255 $4,963 $4,707 $246,999 19.3x 16.0x 40.0x 32.1x 15% 21% 48% 50%

Autodesk $295.27 $64,839 $1,857 $2,105 $65,086 17.3x 15.1x NM 44.3x 15% 14% 32% 34%

Panasonic Corporation $12.12 $28,273 $14,435 $15,756 $31,155 0.5x 0.5x 5.9x 5.8x (10%) 0% 8% 9%

Yamaha Corporation $56.28 $9,894 $1,121 $303 $9,085 2.6x 2.4x 19.1x 16.6x (11%) 8% 14% 14%

Dolby Laboratories $99.85 $10,146 $1,162 $80 $9,070 7.5x 7.3x 18.8x 18.9x (1%) 2% 40% 39%

Technicolor SA $3.13 $738 $404 $1,398 $1,732 0.5x 0.5x 8.6x 5.3x (11%) (3%) 5% 9%

Avid Technology $21.23 $955 $80 $243 $1,118 3.1x 2.9x 18.9x 15.5x (12%) 8% 16% 19%

Harmonic Inc. $7.76 $782 $99 $185 $868 2.3x 1.9x 46.1x 19.7x (7%) 21% 5% 10%

Summary Statistics Mean 6.9x 6.0x 22.0x 19.1x 0% 10% 25% 26% Median 3.1x 2.9x 19.0x 18.9x (1%) 8% 28% 30%

Notes: Sources: Capital IQ, Wall Street Research. Multiples <0x and >50x considered NM. 41 PUBLIC COMPS BACKUP Public Market Comparable Companies (cont.)

Digital Content & Marketplaces Amazon.com $3,340.88 $1,684,193 $84,396 $101,229 $1,701,026 4.5x 3.6x 30.9x 23.4x 36% 24% 15% 15%

Facebook $301.13 $855,589 $61,954 $11,177 $804,812 9.6x 7.5x 18.2x 14.7x 19% 28% 52% 51%

Alibaba Group Holding Limited $232.08 $629,196 $70,790 $22,676 $602,044 6.1x 4.5x 20.6x 16.0x 40% 38% 30% 28%

The Walt Disney Company $183.02 $332,230 $17,068 $58,275 $387,424 6.4x 5.2x 48.1x 34.0x (20%) 24% 13% 15%

Netflix $505.55 $224,162 $8,404 $17,739 $233,498 9.4x 7.8x 46.5x 35.1x 24% 20% 20% 22%

Shopify Inc. $1,099.03 $136,642 $6,397 $913 $131,157 45.8x 32.1x NM NM 81% 43% 15% 11%

Snap Inc. $61.30 $93,390 $2,557 $2,572 $93,405 38.1x 24.4x NM NM 43% 56% 1% 9%

Twitter $67.02 $53,352 $7,472 $4,484 $50,364 13.9x 10.5x 48.9x 34.9x 5% 32% 28% 30% eBay Inc. $60.91 $41,446 $3,826 $8,317 $45,937 4.5x 3.9x 12.2x 10.9x 18% 17% 37% 35%

Etsy $214.59 $27,274 $1,669 $1,138 $26,742 16.4x 12.4x NM 41.6x 99% 33% 30% 30%

Summary Statistics Mean 15.5x 11.2x 32.2x 26.3x 34% 32% 24% 25% Median 9.5x 7.6x 30.9x 28.7x 30% 30% 24% 25%

Advertising The Trade Desk $726.49 $34,530 $624 $292 $34,199 42.3x 30.3x NM NM 22% 39% 31% 34%

HubSpot $564.63 $26,588 $1,251 $789 $26,125 30.1x 22.4x NM NM 29% 35% 12% 13%

Wix.com Ltd. $296.10 $16,751 $1,036 $931 $16,646 17.0x 13.0x NM NM 28% 31% 10% 8%

Magnite $38.31 $4,427 $118 $42 $4,352 19.4x 15.1x NM NM 43% 29% 18% 29%

LivePerson $55.66 $3,773 $654 $561 $3,680 10.1x 8.0x NM NM 25% 27% 8% 8%

Criteo S.A. $36.58 $2,223 $488 $135 $1,905 2.4x 2.2x 8.2x 7.1x (65%) 8% 29% 31%

Summary Statistics Mean 20.2x 15.1x 8.2x 7.1x 14% 28% 18% 21% Median 18.2x 14.0x 8.2x 7.1x 27% 30% 15% 21%

Notes: Sources: Capital IQ, Wall Street Research. Multiples <0x and >50x considered NM. 42 PUBLIC COMPS BACKUP Public Market Comparable Companies (cont.)

Data & Analytics IHS Markit Ltd. $106.81 $45,260 $172 $5,476 $50,577 11.8x 11.0x 27.6x 25.0x (3%) 7% 43% 44%

Experian plc $38.31 $34,994 $169 $4,334 $39,219 7.6x 7.0x 22.4x 21.1x NA 9% 34% 33%

Verisk Analytics $188.88 $30,666 $223 $3,524 $33,967 12.2x 11.4x 24.2x 23.3x 7% 7% 50% 49%

Equifax Inc. $229.72 $27,958 $766 $4,380 $31,610 7.7x 7.1x 21.7x 21.2x 16% 9% 36% 34%

TransUnion $103.27 $19,753 $496 $3,616 $22,968 8.5x 8.0x 22.1x 20.6x 2% 6% 38% 39%

Nielsen Holdings plc $25.60 $9,178 $610 $8,779 $17,539 2.8x 5.1x 9.4x 11.9x (4%) (44%) 30% 42% comScore $3.47 $374 $31 $266 $609 1.7x 1.6x 18.7x 23.7x (8%) 4% 9% 7%

Summary Statistics Mean 7.5x 7.3x 20.9x 21.0x 2% (1%) 34% 35% Median 7.7x 7.1x 22.1x 21.2x (0%) 7% 36% 39%

High-Growth SaaS Zoom Video Communications $336.88 $98,946 $4,245 $106 $94,808 36.8x 24.8x NM NM 314% 48% 35% 31%

Twilio Inc. $384.64 $65,870 $3,040 $607 $63,437 38.0x 26.1x NM NM 47% 46% 9% 7%

Okta $279.30 $36,648 $2,587 $1,969 $36,029 43.8x 33.1x NM NM 40% 32% 3% (2%)

Zscaler $190.26 $25,864 $1,445 $941 $25,360 48.2x 34.5x NM NM 46% 40% 13% 14%

Slack Technologies $42.56 $24,755 $1,587 $912 $24,102 27.1x 20.6x NM NM 41% 31% (2%) (4%)

Coupa Software Incorporated $268.13 $19,681 $606 $1,550 $20,624 39.4x 30.4x NM NM 34% 30% 17% 14%

Smartsheet Inc. $62.03 $7,697 $442 $89 $7,344 19.4x 14.6x NM NM 40% 33% (10%) (6%)

Summary Statistics Mean 36.1x 26.3x NM NM 80% 37% 9% 8% Median 38.0x 26.1x NM NM 41% 33% 9% 7%

Notes: Sources: Capital IQ, Wall Street Research. Multiples <0x and >50x considered NM. 43 GCA Advisors, LLC is the US entity of GCA, a global investment bank that provides strategic M&A and capital markets advisory services to growth companies and market leaders. The firm offers worldwide coverage with over 500 professionals in 25 locations across America, Asia and Europe. Built by the people that run the business, GCA is a firm of experts who focus on deals that require commitment, original perspective, skill and exceptional networks. www.gcaglobal.com

This report was prepared by GCA Advisors, LLC, a registered broker-dealer and member of FINRA and SIPC. Sources of data include Capital IQ and other news organizations. Information obtained from third- party sources is considered reliable, but we do not guarantee that the information herein is accurate and complete. The report shall not constitute an offer to sell or the solicitation of an offer to buy any of the securities mentioned herein; past performance does not guarantee future results. Recipients of this report should not interpret the information herein as sufficient grounds for an investment decision or any other decision.

DISCLAIMER: This report includes logos or other words or devices that may be registered trademarks of their respective owners. Such use is solely for purposes of convenience in referring to the trademark owners and their products/services. This report and its contents are not endorsed by, sponsored by or affiliated with any trademark owners. GCA Advisors, LLC and its affiliates are not affiliated with any trademark owner but may provide financial services to one or more trademark owners or their affiliates. For more information regarding any transactions, please contact us.