Hollywall Entertainment, Inc. ("HWAL") Announces Major Transaction Involving Music Assets, Unleashing Potential of NFTs and Blockchain, and Stock Dividend to Create Additional Value for Shareholders"

Rhea-AI Summary

Hollywall Entertainment, Inc. (HWAL) has completed a transaction selling assets from its music catalog to Melody Trust, Inc. HWAL will issue a stock dividend of 1.3 Melody Trust Preferred B Series Shares for each HWAL common share held. The dividend is scheduled to be distributed on or about October 2, 2023. The Catalog has a fair value of approximately $146 million and includes recordings from renowned artists such as Ray Charles, Elvis Presley, and Tony Bennett. Melody plans to utilize the Catalog for blockchain technology and NFTs in the music industry.

WASHINGTON, DC / ACCESSWIRE / July 25, 2023 / Hollywall Entertainment, Inc. ("Hollywall" or "HWAL") (OTC Pink:HWAL) is pleased to announce the completion of a transaction involving the sale of assets from its music catalog (the "Catalog") to Melody Trust, Inc. ("Melody"), https://melodytrust.com. As a result of this transaction a stock dividend will be distributed to HWAL shareholders.

Pursuant to an asset purchase agreement executed by Hollywall and Melody, HWAL will issue a stock dividend of 1.3 Melody Trust Preferred B Series Shares for each HWAL common share held on the record date. The stated capital value of each Melody Trust Preferred B Series Share is $1.00. The dividend is scheduled to be distributed on or about October 2, 2023, to HWAL stockholders of record as of the close of business on September 30, 2023.

The Catalog comprises a prestigious collection of over 17,500 master recordings, showcasing the remarkable talents of renowned music legends. These recordings encompass iconic performances by esteemed artists such as Ray Charles, Elvis Presley, Tony Bennett, The Bee Gees, Chicago, The Platters, George Gershwin, Marvin Gaye, James Brown, Bo Didley, Willie Nelson, Waylon Jennings, and Rod Stewart, among many others.

Based on an intangible asset valuation conducted by Sun Business Valuation, which is available for reference on HWAL's official website, the fair value of the Catalog was assessed to be approximately $146 million as of March 12, 2021. HWAL and Melody are confident that the master recordings within the Catalog possess substantial growth potential and are poised to appreciate significantly in value well into the future. This belief underscores their strategic positioning to capitalize on the anticipated growth and maximize long-term returns to shareholders.

Melody, utilizing the Catalog, is entering the realm of blockchain technology and non-fungible tokens (NFTs). The emergence of music NFTs has the potential to revolutionize the landscape of music discovery, distribution, and monetization. It is projected that the NFT segment will experience significant growth, with experts predicting a market capitalization of $80 billion by 2025. Notably, the month of December 2021 alone witnessed NFT transactions valued at $4 billion.

In partnership with Melody, HWAL's new tech division is currently in the planning stage of developing pioneering blockchain and NFT technology systems. These innovative systems aim to facilitate real-time royalty payments for music owners, writers, publishers, and performing artists. By harnessing the power of blockchain and NFTs, HWAL and Melody are dedicated to introducing cutting-edge solutions that enhance transparency, efficiency, and fairness in the music industry's royalty ecosystem.

Roxanna Green, the President of HWAL, expressed her strong conviction in the potential of a mutually beneficial collaboration between the two companies. She stated, "We are thrilled about the compelling opportunity that lies ahead as we join forces with Melody Trust to establish a disruptive blockchain entertainment and media company. This collaboration has the potential to surpass the sum of its parts, both technically and fundamentally, creating a truly remarkable venture. We eagerly anticipate working closely with the talented team at Melody Trust as we embark on this exciting journey together."

A Quick Update on Prior Business: The 50 Million Share Reduction.

On April 10, 2023, Hollywall announced the divestment of its infrastructure development subsidiary. As a result of this transaction, 50,020,609 common shares and 56,391 Series A Preferred shares of HWAL's stock are currently in the process of being canceled and returned to its treasury.

About Melody Trust, Inc.

Melody Trust, Inc., is a visionary company dedicated to revolutionizing the creator economy by providing economic opportunities to creators and brands. Its mission is to amplify the impact of platforms, assets, people, and technology, creating a powerful flywheel effect in the music industry. Melody Trust is committed to building a viable and safe ecosystem that benefits all stakeholders. Through strategic partnerships, innovative technologies, and a customer-centric approach, we empower creators and brands to thrive within our dynamic ecosystem. With a focus on delivering exceptional experiences and fostering long-term relationships, Melody Trust is poised for significant growth and disruption of the music creator economy landscape.

About Hollywall Entertainment, Inc.

Hollywall Entertainment, Inc. (OTC Pink:HWAL), is an emerging public company at the forefront of development, telecommunications, technology, media, music, entertainment, and broadcasting that operates through a diverse range of subsidiaries and divisions.

Driven by a commitment to innovation, Hollywall continues to evolve and adapt to the ever-changing landscape of the new tech industries. To learn more about Hollywall Entertainment, Inc., and its diverse range of offerings, please visit www.hollywall.com.

Safe Harbor Forward-Looking Statements:

This press release and the statements of representatives of Hollywall Entertainment, Inc. (the "Company") related thereto contain, or may contain, among other things, "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact included herein are "forward-looking statements," including any other statements of non-historical information. These forward-looking statements are subject to significant known and unknown risks and uncertainties and are often identified by the use of forward-looking terminology such as "guidance," "projects," "may," "could," "would," "should," "believes," "expects," "anticipates," "estimates," "intends," "plans," "ultimately" or similar expressions. All forward-looking statements involve material assumptions, risks and uncertainties, and the expectations contained in such statements may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results (including, without limitation, the Company's ability to advance its business, generate revenue and profit and operate as a public company) could differ materially from those stated or anticipated in these forward-looking statements as a result of a variety of factors, including factors and risks discussed in the periodic reports that the Company files with OTC Markets (Pink Sheets). All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. The Company undertakes no duty to update these forward-looking statements except as required by law.

Hollywall Entertainment, Inc.
202-827-2220
info@hollywall.com

Corporate Communications:
Instagram: https://www.instagram.com/hollywalltv

Facebook: https://www.facebook.com/HWAL.Hollywall

Twitter: https://twitter.com/theHollywall

HWAL: https://hollywall.com
HWAL IR: https://wwww.hollywall.com/investor

Melody Trust: https://melodytrust.com

Investor Relations Contact: info@hollywall

SOURCE: Hollywall Entertainment Inc.

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FAQ

What is the transaction involving Hollywall Entertainment's music catalog?

Hollywall Entertainment has completed a transaction selling assets from its music catalog to Melody Trust, Inc.

What will HWAL issue as a result of the transaction?

HWAL will issue a stock dividend of 1.3 Melody Trust Preferred B Series Shares for each HWAL common share held.

When will the dividend be distributed?

The dividend is scheduled to be distributed on or about October 2, 2023.

What is the fair value of the Catalog?

The fair value of the Catalog is approximately $146 million.

Which artists are included in the Catalog?

The Catalog includes recordings from artists such as Ray Charles, Elvis Presley, and Tony Bennett.

What does Melody plan to do with the Catalog?

Melody plans to utilize the Catalog for blockchain technology and non-fungible tokens (NFTs) in the music industry.