Too Lost to acquire Xelon Entertainment in APAC expansion

Too Lost Music Group has signed a definitive agreement to acquire Xelon Entertainment, bringing the distributor’s APAC and UK operations into the company’s network. The deal, expected to close by the end of 2026 pending approvals, adds regional scale and leadership from Xelon founder Ashley Gay.

Why it matters: - The acquisition expands Too Lost Music Group’s footprint in APAC and strengthens its position as an independent distribution partner in the region. - The combination is designed to give independent labels and artists a larger global alternative to the major label system. - The deal also brings together technology, local market expertise, label services, distribution infrastructure and capital under one group. - Too Lost Music Group now has more than 170 professionals across 10 offices worldwide.

What happened: - Too Lost Music Group, headquartered in New York, entered into a definitive agreement to acquire Xelon Entertainment. - The transaction covers Xelon’s APAC and United Kingdom operations. - Both sides expect the deal to close by the end of 2026, subject to regulatory approvals. - Ashley Gay, Xelon’s founder, will continue to lead Xelon as president and will join Too Lost’s leadership team. - Gay will also drive business development across Australia, New Zealand, the broader APAC region, the United Kingdom and Europe.

The details: - Xelon was founded almost 20 years ago and has become one of the most established independent label distributors in its region. - The company started as a local artist services business bringing European acts such as Tiësto and Armin van Buuren to Australian listeners. - Xelon has distributed more than one million recordings for independent labels and artists worldwide. - The company has a heavy focus on electronic and dance music. - Xelon works with Australian labels Sweat It Out, Central Station Records and Balance Music. - Xelon also works with global imprints 23rd Precinct, Unearthed African Recordings, Urbana Recordings and Perfecto. - Recent work includes Paul Oakenfold’s Perfecto imprint. - Artists distributed by Xelon have included Hans Zimmer, RÜFÜS DU SOL, Dom Dolla, Pitbull, Carl Cox and Purple Disco Machine. - Xelon operates from Melbourne, New York and the United Kingdom. - Apple Music, Beatport and Spotify recognize Xelon as a preferred distributor. - Too Lost serves more than half a million artists and labels. - Too Lost says it delivers approximately 10% of the world’s newly released music each day. - Mallesons is providing legal advice on the deal. - BDO and Deloitte are handling tax and financial due diligence.

Between the lines: - The acquisition builds on Too Lost’s earlier deal with GYRO.Group. - Gregory Hirschhorn, Too Lost’s CEO and co-founder, said the combined partnerships deepen the company’s regional presence and broaden its global offer for independent labels and artists. - Hirschhorn said Too Lost wants to preserve what made Xelon successful while adding scale through the Too Lost Music Group ecosystem. - Gay’s continued leadership suggests Too Lost is buying regional reach without replacing Xelon’s local identity.

What's next: - The deal still needs regulatory approvals before closing. - Completion is expected by the end of 2026. - Too Lost and Xelon will integrate their regional operations after closing, with Gay continuing to oversee Xelon’s business and expansion efforts. - The broader partnership with GYRO.Group is expected to further extend Too Lost’s APAC presence over time.