Social music streamer CÜR Media has had a rocky launch. Recent SEC filings showed that it had missed the deadline for its first payments to all three major labels. The $2 million raised this week should put the startup back on track.
CÜR Media has announced the completion of $2 million in financing led by Intuitive Venture Partners and Katalyst Securities. CÜR will to use the cash to pay content providers including the three major record labels and as working capital.
CÜR Music, currently in public beta, is a streaming music service aimed at more casual music fans with tiers beginning at $1.99 per month after a 14-day free trial.
"I'm pleased to have completed this financing and to move our company one step closer toward the launch of CÜR Music," said Tom Brophy, Founder & CEO of CÜR Media in a statement. "I'm grateful for my team who have worked diligently to prepare a terrific and competitive product for consumers at a price-point of $1.99 per month that works for the masses."
"The securities issued in this Offering consisted of the Company's 12% Senior Secured Convertible Promissory Notes, which are convertible into units of the Company's securities, each unit consisting of one share of the Company's common stock, and one warrant to purchase an additional share of the Company's common stock. These securities have not been registered under the Securities Act of 1933, as amended ("Securities Act") or applicable state securities laws and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements of the Securities Act and applicable state laws. A full description of the Offering can be found in the Company's Form 8-K filed with the SEC on April 13, 2016. This press release shall not constitute an offer to sell or a solicitation of an offer to buy the units, common stock, warrants or any other securities, and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful."