Loudeye OD2 buyout boosts catalogue for Euro push.(News)

OD2 says its multi-million-pound takeover by Loudeye will give it the platform to dramatically expand its European activities.

OD2 can now offer an expanded catalogue of 1.3m tracks and access to better technical research and development, following a buyout by the Seattle-based business-to-business digital solutions firm. The deal is potentially worth 31m [pounds sterling].

Under the deal, OD2 will retain branding for Europe, while the tie-up will give both companies a presence in each other's markets. The agreement makes Loudeye the only global business-to-business supplier in the sector. The two parties say the acquisition is a seamless fit because there are few overlaps in geography, customer base or technology.

OD2 co-founder Charles Grimsdale, who becomes president and managing director of the combined company's international business, says his film had the choice of either raising the capital to fund expansion or look within the industry to consolidate. "OD2 offers two levels of service, first as a content aggregator and second as a provider of technology platforms," he says. "Many of our customers need a worldwide service, so we needed to go global."

The consolidation has a number of ...