Adara Acquisition filed a preliminary proxy on its proposed merger with Alliance Entertainment, a distributor and wholesaler of “the world’s largest in stock selection of music, movies, video games, electronics, arcades, and collectibles,” as the company describes itself.
If approved, the combined business is expected to have a proforma equity value of approximately $480 million and $109 million in gross cash proceeds after closing. The companies are targeting a fourth-quarter closing, with the merged enterprise listing on the NYSE American under the symbol AENT.
Upon completion of the transaction, and assuming no Adaras shareholder redemptions, the current owners of Alliance Entertainment will hold approximately 78% of the combined company and Adara shareholders will hold 22%. Read more.
