$40 Million Transaction: AIBiotics Signs Letter of Intent to Acquire Music AI Innovator DigiTrax Entertainment Including Seven Patents and $9 Million Music Catalog
AIBotics, a subsidiary of Ehave (EHVVF), has signed a letter of intent to acquire DigiTrax Entertainment in a $40 million transaction. The deal includes seven U.S. patents in music AI, a $9 million music catalog, and licensing agreements with leading publishers. DigiTrax's last funding round valued the company at $32 million.
The acquisition, targeted to close by February 28, 2025, will position DigiTrax as an AIBotics subsidiary. DigiTrax shareholders will receive newly designated preferred stock, common stock, and cash consideration. DigiTrax CEO Joseph Vangieri will retain his position and join AIBotics' board.
DigiTrax operates through three divisions: AI Innovation (featuring the KR38R platform), Karaoke Interactive Digital Media Platform, and Music Catalog Services. The company's AI technology is integrated with major digital audio workstations and has been adopted by platinum artists and major labels.
AIBotics, una controllata di Ehave (EHVVF), ha firmato una lettera di intenti per acquisire DigiTrax Entertainment in una transazione del valore di 40 milioni di dollari. L'accordo include sette brevetti statunitensi nell'AI musicale, un catalogo musicale da 9 milioni di dollari e contratti di licenza con importanti editori. L'ultimo round di finanziamento di DigiTrax ha valutato l'azienda 32 milioni di dollari.
L'acquisizione, prevista per essere completata entro il 28 febbraio 2025, posizionerà DigiTrax come sussidiaria di AIBotics. Gli azionisti di DigiTrax riceveranno azioni privilegiate nominate, azioni ordinarie e un'indennità in contante. Il CEO di DigiTrax, Joseph Vangieri, manterrà la sua posizione e si unirà al consiglio di AIBotics.
DigiTrax opera attraverso tre divisioni: Innovazione AI (che presenta la piattaforma KR38R), Piattaforma Media Digitale Karaoke Interattiva e Servizi di Catalogo Musicale. La tecnologia AI dell'azienda è integrata con le principali workstation audio digitali ed è stata adottata da artisti di successo e importanti etichette discografiche.
AIBotics, una subsidiaria de Ehave (EHVVF), ha firmado una carta de intención para adquirir DigiTrax Entertainment en una transacción de 40 millones de dólares. El acuerdo incluye siete patentes en EE. UU. sobre inteligencia artificial musical, un catálogo musical valorado en 9 millones de dólares y acuerdos de licencia con editores líderes. La última ronda de financiación de DigiTrax valoró la empresa en 32 millones de dólares.
La adquisición, que se espera cerrar antes del 28 de febrero de 2025, posicionará a DigiTrax como una subsidiaria de AIBotics. Los accionistas de DigiTrax recibirán acciones preferentes recién designadas, acciones comunes y compensación en efectivo. El CEO de DigiTrax, Joseph Vangieri, mantendrá su puesto y se unirá a la junta de AIBotics.
DigiTrax opera a través de tres divisiones: Innovación en IA (con la plataforma KR38R), Plataforma de Medios Digitales Karaoke Interactiva y Servicios de Catálogo Musical. La tecnología de IA de la compañía está integrada con las principales estaciones de trabajo de audio digital y ha sido adoptada por artistas de renombre y grandes sellos discográficos.
AIBotics는 Ehave (EHVVF)의 자회사로, DigiTrax Entertainment를 4천만 달러에 인수하기 위한 의향서를 체결했습니다. 이 거래에는 음악 AI에 대한 미국 특허 7개, 900만 달러 규모의 음악 카탈로그, 주요 출판사와의 라이센스 계약이 포함됩니다. DigiTrax의 최근 자금 조달 라운드는 회사를 3천200만 달러로 평가했습니다.
2025년 2월 28일 이전에 완료될 예정인 이번 인수는 DigiTrax를 AIBotics의 자회사로 자리매김할 것입니다. DigiTrax 주주들은 새롭게 지정된 우선주, 보통주 및 현금 보상을 받게 됩니다. DigiTrax의 CEO인 Joseph Vangieri는 자신의 자리를 유지하고 AIBotics 이사회에 합류할 것입니다.
DigiTrax는 AI 혁신(KR38R 플랫폼 포함), 인터랙티브 디지털 미디어 카라오케 플랫폼, 음악 카탈로그 서비스라는 세 가지 부문에서 운영됩니다. 이 회사의 AI 기술은 주요 디지털 오디오 워크스테이션과 통합되어 있으며, 플래티넘 아티스트와 주요 레이블에 의해 채택되었습니다.
AIBotics, une filiale de Ehave (EHVVF), a signé une lettre d'intention pour acquérir DigiTrax Entertainment dans le cadre d'une transaction de 40 millions de dollars. L'accord comprend sept brevets américains en matière d'IA musicale, un catalogue musical de 9 millions de dollars et des contrats de licence avec des éditeurs de premier plan. Le dernier tour de financement de DigiTrax a valorisé l'entreprise à 32 millions de dollars.
L'acquisition, qui devrait être finalisée d'ici le 28 février 2025, positionnera DigiTrax comme une filiale d'AIBotics. Les actionnaires de DigiTrax recevront des actions préférentielles nouvellement désignées, des actions ordinaires et une indemnité en espèces. Le PDG de DigiTrax, Joseph Vangieri, conservera son poste et rejoindra le conseil d'administration d'AIBotics.
DigiTrax opère à travers trois divisions : Innovation IA (avec la plateforme KR38R), Plateforme de Médias Numériques Karaoké Interactifs et Services de Catalogue Musical. La technologie IA de l'entreprise est intégrée aux principales stations de travail audio numériques et a été adoptée par des artistes Platinum et des labels majeurs.
AIBotics, eine Tochtergesellschaft von Ehave (EHVVF), hat einen Letter of Intent zur Übernahme von DigiTrax Entertainment im Wert von 40 Millionen Dollar unterzeichnet. Die Vereinbarung umfasst sieben US-Patente im Bereich Musik-AI, einen Musik-Katalog im Wert von 9 Millionen Dollar und Lizenzvereinbarungen mit führenden Verlegern. Die letzte Finanzierungsrunde von DigiTrax bewertete das Unternehmen mit 32 Millionen Dollar.
Die Akquisition, die bis zum 28. Februar 2025 abgeschlossen sein soll, wird DigiTrax als Tochtergesellschaft von AIBotics positionieren. Die DigiTrax-Aktionäre erhalten neu benannte Vorzugsaktien, Stammaktien und eine Barabfindung. DigiTrax-CEO Joseph Vangieri wird seine Position beibehalten und dem Vorstand von AIBotics beitreten.
DigiTrax operiert über drei Divisionen: AI-Innovation (mit der KR38R-Plattform), Karaoke-Interactive-Digitalmedia-Plattform und Musik-Katalogdienste. Die KI-Technologie des Unternehmens ist in führende digitale Audio-Workstations integriert und wurde von Platin-Künstlern und großen Labels übernommen.
- Strategic acquisition valued at $40M, above DigiTrax's last valuation of $32M
- Portfolio includes valuable assets: 7 US patents, $9M music catalog, and publisher licensing agreements
- Partnership with major tech companies through NVIDIA Inception and Intel AI Partner Programs
- Multiple revenue streams through three distinct operating divisions
- Established market presence with adoption by platinum artists and major labels
- Acquisition subject to completion of definitive agreements and due diligence
- Bridge financing required for operational and audit requirements
- Some key products like KR38R VOICE (VOCHIE) still incomplete, requiring additional investment
- Existing liabilities need to be resolved before closing
AIBotics and DigiTrax Entertainment aim to redefine music creation and experience using Artificial Intelligence based algorithms trained in music theory, tapping into the
MIAMI, Jan. 29, 2025 (GLOBE NEWSWIRE) -- Mycotopia Therapies Inc., dba AIBotics (OTC: TPIA) and a wholly owned subsidiary of Ehave (OTC: EHVVF), announced today that it has signed a letter of intent (LOI) to acquire
DigiTrax is a music technology company that is utilizing its cutting-edge AI solutions to revolutionize the music industry by amplifying creativity and innovation. Its platform empowers artists, music publishers, and labels to unlock new value from existing content while pioneering AI-driven music experiences. As part of the NVIDIA Inception and Intel AI Partner Programs, DigiTrax is merging technology with artistry and reshaping how music is created, experienced, and shared.
The proposed acquisition, which is subject to the completion of definitive agreements and customary due diligence, is expected to position DigiTrax as a subsidiary of AIBiotics, thus expanding the Company's AI portfolio and market presence. Under the terms outlined in the LOI, DigiTrax shareholders will exchange their equity interests for a combination of newly designated preferred stock, common stock, and cash consideration from AIBiotics.
DigiTrax CEO Joseph Vangieri will retain his CEO position in DigiTrax and join the board of directors of AIBiotics as part of the transaction. The LOI sets a target closing date of February 28, 2025, contingent upon certain conditions, including delivering audited financial statements and resolving existing liabilities. Mycotopia Therapies intends to provide bridge financing to DigiTrax during the due diligence period to facilitate operational and audit requirements.
Ben Kaplan, CEO of AIBotics, stated, "The next evolution of generative AI will come from industry leaders collaborating to deliver real value to their customers. This Letter of Intent with DigiTrax is a pivotal step in our strategy to develop AI solutions that move beyond traditional machine learning, driving innovation, efficiency, and productivity."
DigiTrax Entertainment
DigiTrax is revolutionizing music production by enhancing both quality and efficiency through its patented AI Plugin. By harnessing the power of artificial intelligence and machine learning, DigiTrax is redefining how music is created, experienced, and interacted with. With seven U.S. patents in music AI, a
DigiTrax Entertainment: Driving Innovation Across Three Divisions
DigiTrax Entertainment is a leading innovator in the music industry, with three distinct operating divisions driving growth and pushing the boundaries of music creation and experience.
1. Artificial Intelligence Innovation: DigiTrax is at the forefront of AI-powered music technology. The company researches, develops, and commercializes cutting-edge AI products, including the KR38R Pro Plugin and KR38R VOICE (VOCHIE). The KR38R Pro Plugin is
Built on seven years of innovation and seven patents, the KR38R platform utilizes evolutionary algorithms trained on music theory, enabling artists, labels, and consumers to generate new value from existing and original content. This includes creating music inspired by specific artist motifs. The KR38R platform seamlessly integrates with major digital audio workstations like Pro Tools and Ableton, offering tools like MixPacks, StudioPacks, and StylePacks. It empowers creators across genres including Hip-Hop, EDM, Pop, and Country, and has been adopted by platinum artists and major labels. The platform is expanding through collaborations and partnerships with independent artists, making music creation more accessible and innovative.
2. Karaoke Interactive Digital Media Platform: This division encompasses DigiTrax's interactive digital media platform, which distributes short-form video content such as karaoke music videos, and DigiTrax's Music Distribution Services. DigiTrax generates revenue through subscription services like KaraokeOnDemand.com and advertising partnerships. Investors and interested parties are invited to download a free seven-day trial at KaraokeOnDemand.com.
Karaoke On Demand provides an extensive library of karaoke songs available for streaming anytime, anywhere. Catering to music enthusiasts of all ages, it offers high-quality tracks across various genres, delivering professional-grade karaoke experiences accessible on Roku, Google Play, Apple, and Amazon platforms.
3. Music Catalog Services and In-House Recording Facilities: This division includes Soknox Studios, DigiTrax's sound-alike music catalog, and recording facilities. DigiTrax's Music Production and Licensing Services are primarily involved in obtaining publisher licenses and selling master recording rights associated with the sound-alike catalog.
Joseph Vangieri, CEO of DigiTrax Entertainment, said, "DigiTrax is transforming the music industry by empowering content creators with AI-generated music that's not just innovative but also publisher and record label licensed and authorized. Our patented technology ensures that you can create and distribute your content without fear of infringement, giving you the freedom to express your creativity without limitations." Mr. Vangieri continued, "We believe the future of AI in music lies in collaboration, where groundbreaking technologies empower creators to reach new heights."
Ben Kaplan, CEO of AIBiotics, added, "The music industry is undergoing a technological revolution, with AI transforming how music is created, produced, and shared. From independent artists to major studios, AI is unlocking new creative possibilities and reshaping the business landscape. DigiTrax's capabilities open up a world of opportunities for AIBiotics and its shareholders to benefit from this transformation."
About AIBiotics
AIBotics leverages AI and robotics to develop innovative solutions that address real-world challenges. Its flagship products include the Phill Robot™, an AI-powered massage robot that delivers spa-quality care with IoT integration, and Milkyway, a smart refrigerator that simplifies breast milk storage with automated organization and app connectivity.
For more information on AIBiotics, visit our website at https://www.aibotics.ai and our Indiegogo page at https://www.indiegogo.com/projects/phill-robot-world-s-1st-ai-powered-massage-robot#/.
About DigiTrax AI
DigiTrax AI is a music technology company that uses artificial intelligence to develop new ways of creating and experiencing music. The Company has developed a patented AI process that leverages evolutionary algorithms trained on music theory as the key innovation of the KR38R platform. The platform leverages AI for new music creation and to help artists and music labels unlock additional value from existing content. DigiTrax AI is currently participating in the NVIDIA Inception and Intel AI Partner Programs. For more information on DigiTrax AI, please visit https://digitrax.ai/.
Forward-Looking Statement Disclaimer
This press release contains “forward-looking statements” within the meaning of applicable securities legislation. Such statements may be preceded by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words. Forward-looking statements are based on certain assumptions, opinions and estimates of management and are subject to various known and unknown risks and uncertainties, many of which are beyond the Company's control, and cannot be predicted or quantified and consequently, actual results may differ materially from those expressed or implied by such forward-looking statements: (i) the initiation, timing, progress and results of the Company’s research, manufacturing and other development efforts; (ii) the Company’s ability to advance its products to successfully complete development and commercialization; (iii) the manufacturing, development, commercialization, and market acceptance of the Company’s products; (iv) the lack of sufficient funding to finance the product development and business operations; (v) competitive companies and technologies within the Company’s industry and introduction of competing products; (vi) the Company’s ability to establish and maintain corporate collaborations; (vii) loss of key management personnel; (viii) the scope of protection the Company is able to establish and maintain for intellectual property rights covering its products and its ability to operate its business without infringing the intellectual property rights of others; (ix) potential failure to comply with applicable health information privacy and security laws and other state and federal privacy and security laws; and (x) the difficulty of predicting actions of the U.S. Food and Drug Administration and its regulations. All forward-looking statements included in this press release are made only as of the date of this press release. The Company does not undertake an obligation to publicly update such forward-looking statements to reflect new information, subsequent events, or otherwise, except as required by applicable law.
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