Too Lost Music Group, a New York-based distributor and services company for independent artists and labels, has signed a definitive agreement to acquire Xelon Entertainment, an independent music distributor based in Melbourne. The deal was announced on October 20, 2026, according to Music Business Worldwide.
Terms were not disclosed. The acquisition is subject to customary closing conditions and regulatory approvals and is expected to close by the end of 2026. King & Wood Mallesons advised on legal matters, while BDO and Deloitte handled tax and financial due diligence.
Xelon's founder, Ashley Gay, will stay on as president of Xelon and join Too Lost's leadership team, where he will lead business development across Australia, New Zealand, the wider Asia-Pacific region, the UK and Europe. The Xelon brand and its local team will continue.
What Xelon built
Gay founded Xelon in 2007. It began as a local artist-services operation that helped bring European acts such as Tiësto and Armin van Buuren to Australian listeners, and grew into a digital distributor focused on electronic and dance music. It says it has distributed more than 1 million recordings.
Its label clients include Sweat It Out, Central Station Records, Balance Music, 23rd Precinct, Unearthed African Recordings, Urbana Recordings and Paul Oakenfold's Perfecto. It has handled releases for artists including Hans Zimmer, RÜFÜS DU SOL, Dom Dolla, Pitbull, Carl Cox and Purple Disco Machine, and says it is a preferred label distributor for Apple Music, Beatport and Spotify.
Xelon has offices in Melbourne, New York and the UK, where it opened a London office in September 2026. No outside funding has been reported for the company.
"I'm incredibly proud of what the Xelon team has built over the past two decades," Gay said. He added that joining Too Lost would let the company expand globally with more technology and resources "while continuing to serve our clients with the same local expertise and independence that have defined us from the beginning."
“Xelon has spent almost two decades building trust with some of the most important independent labels and artists in Australia, New Zealand and beyond.”
Why Too Lost is buying
Too Lost serves more than half a million artists and labels and has more than 170 staff in 10 offices, according to Music Business Worldwide. It says it delivers about 10% of the world's newly released music every day, and it reported more than $100 million in revenue in 2025.
In March 2026 it closed a nine-figure funding round led by Charles Goldstuck's GoldState Music and TA Associates, alongside a senior credit facility from Pinnacle Financial Partners. MBW's sources said that round valued the company at up to three times its annual revenue.
"Xelon has spent almost two decades building trust with some of the most important independent labels and artists in Australia, New Zealand and beyond," said Gregory Hirschhorn, Too Lost's chief executive and co-founder. "Ashley has built an incredible business with a deeply respected brand, and we're excited about the opportunity to bring Xelon into the Too Lost Music Group ecosystem while preserving what has made the company so successful."
A second Australian deal
The Xelon agreement comes three months after Too Lost bought GYRO.Group, a Brisbane company, in July 2026. GYRO co-founder Andy Irvine became Too Lost's head of Asia-Pacific. In 2025 Too Lost also made seven-figure investments in AntiFragile Equity Partners and Rebellion Records.
"Together with GYRO.Group, these partnerships meaningfully expand our presence in the region and give independent labels and artists across APAC and beyond a stronger global alternative to the major-label system," Hirschhorn said.
Too Lost says the combination of Too Lost, Xelon and GYRO.Group will bring together technology, local market expertise, label services, distribution infrastructure and capital.
Consolidation in independent distribution
Buying established regional distributors gives Too Lost catalogues, label relationships and local teams it would otherwise have to build.
For Xelon, the deal brings a well-funded owner after nearly two decades as an independent, founder-run business. Gay's new role across Europe and the UK suggests Too Lost plans to use Xelon's dance-music relationships well beyond Australia.
