06/04/2013 11:52 EDT | Updated 08/04/2013 05:12 EDT

Universal Music signs five-year deal to promote artists through Mood Media

TORONTO - Mood Media Corp. (TSX:MM) got a boost after the Toronto-based company announced a five-year deal to collaborate with Universal Music Group.

Mood Music uses audio, visual and other sensory services that appeal to customers at hundreds of businesses such as clothing stores and restaurants.

Universal is one of the world's biggest music companies, operating through major labels such as Capitol Records, Virgin Records, Decca and Motown Records.

Mood Music's chairman and chief executive, Lorne Abony, says the agreement represents a new level of collaboration.

He says Mood Music will use Universal's catalogue to create promotions and new music services that will "captivate" consumers at the point of sale.

Universal Music says the deal will give its artists increased exposure.

"Our agreement with Mood enables us to partner with a global leader in providing in-store consumer experiences and furthers our mission of exploring new ways for our artists to reach the widest possible audience," said Bruce Resnikoff, president and CEO of Universal Music Enterprises.

Mood Media says its platforms reach over 150 million consumers each day through 570,000 subscriber locations in over 40 countries throughout North America, Europe, Asia and Australia.

It has clients in the retail, hospitality and restaurant industries.

Based on the Monday closing price, Mood Music was worth about $200.8 million before the announcement. Its shares gained about eight per cent Tuesday.