Before we start, we ask you to take a moment to read the disclaimer at the beginning of the slides that accompany this presentation, as it contains important information. We would like to remind you that all amounts discussed on this call are denominated in CAD unless otherwise indicated. Please note that statements made during this call may include forward-looking statements and information and future-oriented financial information regarding Tiny and its business, and disclosure regarding possible events, conditions, or results that are based on information currently available to management, which indicate management expectations of future growth, results of operations, business performance, and business prospects and opportunities. Such statements are made as of this date hereof, and Tiny assumes no obligation to update or revise them to reflect events, disclosures, or circumstances except as required by applicable securities laws.
Such statements involve significant risk and uncertainties and are not a guarantee of future performance or results. A number of these risks and uncertainties could cause results to differ materially from the results discussed today. Given these risks and uncertainties, one should not place undue reliance on these statements and information. Please refer to the forward-looking statements disclaimer in the slides accompanying this presentation and in the company's press release issued today for additional information. We use non-IFRS financial measures to help investors understand our operating performance. Non-IFRS financial measures may not be comparable to similarly-titled measures used by other companies and should be considered along with, but not as an alternative to, measures calculated in accordance with IFRS. You will find reconciliations to our non-IFRS measures in the slides that accompany this presentation, which are available on our website.
I would like to turn the call over to the executive team from Tiny for today's call. Please proceed.
Hello. Hi, everyone. Good afternoon. You've got Jordan Taub here, CEO of Tiny. Very excited to be talking to you all today to announce our acquisition of Serato. It's been in the works for many months in the background, and we're very excited to have it be released publicly and talk about it today on the conference call. Before diving into the acquisition, I just wanted to highlight some of our 2024 preliminary results and really talk about some of the hard work that we've been doing in the background to really prepare ourselves and to prepare the company to do an acquisition like this. With those preliminary Q4 results, we're expecting an adjusted EBITDA between CAD 8.5 million-CAD 12.5 million, which would represent full-year growth over 2023 of around 4%-19%.
As we've spoken about before on many of our other investor calls, we've been very focused on deleveraging. We continued that deleveraging journey through Q4 by paying down or reducing our net debt by about CAD 5.5 million. The net debt sits at around CAD 96 million as at December 31, 2024. We're also on a more regular cadence of fund distributions, and you'll see that continue throughout the year. Fund distributions from the Tiny Fund I were approximately CAD 2.2 million for 2024. That isn't included in the adjusted EBITDA that I mentioned before. As we had discussed on the Q3 call, we did complete a major cost optimization exercise. You're really starting to see the early results of that in our Q4 results, and you'll continue seeing the benefit of that over the 2025 year.
I also wanted to highlight that we acquired MediaNet, Repeat, and Wholesale Pet, the latter in our fund. We have also been hard at work identifying opportunities to potentially monetize non-core assets to increase focus on the core business. We were able to complete MBOs with 8020 and Frosty during 2024. I'd love to highlight that net debt to adjusted EBITDA, and this is something that we'll continue to focus on, was reduced from 3.8 to a range of around 2.9-3.3 times. We will continue doing that over the near term. Let's talk acquisition, though. If you can move to the next slide. Today, we are excited to announce our acquisition of a 66% share in Serato, which is a global leader in DJ software. This is huge for us.
This is a software that has essentially defined the category, started by the founders over 25 years ago. This business has grown tremendously over that time, profitably. It now sits at a run rate of around $31 million US dollars of revenue. The majority of that is recurring. It is a highly profitable business with over 2 million users globally. Most of their 165 employees sit in New Zealand, which is a region we're comfortable with given our recent acquisition of Letterboxd last year. Why we're excited about this? I mean, this is kind of the exact kind of acquisition that we look for. I mean, these are the brand product leaders in the space. They've been recognized through hip hop and electronic music culture by being name-dropped in songs.
We believe that we can help this business accelerate their growth by focusing on roadmap, helping on the edges around digital marketing, especially as it relates to some of the stuff that we've learned from our e-commerce and our other software businesses. We do believe that we have other operational best practices, especially as we kind of connect them with our leading digital services agency, MetaLab, who has really helped companies exactly like this achieve innovation. This is a big addition to our software portfolio. It adds a software business and a highly recurring software business with a strong track record of growth, and it greatly enhances the financial profile of Tiny going forward. Next slide, please. I think this slide speaks for itself, and it's one of the key reasons why we're so excited about the acquisition.
This business has grown at a 10% compound annual growth rate for the last 15 years. We believe that there are levers in the near term that can accelerate that growth, specifically around product roadmap, things like potentially improving payments, and really leaning into that heritage of innovation that Serato is known for. I can't stress how excited we are to really partner with the founders who will continue to be owners of Serato and who are going to be major shareholders in Tiny, and really partnering with the management team that we've had a lot of time to get to know and align with on the go-forward plan.
As we kind of zero in on what we've been talking about over the past nine months, and I put up this slide, and I've said this at our AGM, we made a strong commitment to focus on platforms that had recurring revenue bases. We want to increase cash flow through organic growth. Oh, can you go back to the last slide? Through organic growth and being cost-disciplined. We had a strong emphasis on reducing debt. We want to make sure that we're partnering with management teams and designing incentive plans that are aligned to our long-term growth. I can honestly hold my hand to my heart and say that Serato really touches on all of these, given its strong organic growth profile, given it's going to increase our ARR by around 68% after the acquisition.
It gives us flexibility and additional cash flow to continue reducing our leverage profile to that target of below 2.5 times. We are designing a long-term incentive plan that's really focused on growing the long-term intrinsic value of Serato. Next slide, please. I am kind of bringing this all together. When I think about the roadmap for Tiny and how this really kind of fits together with everything that we've been doing, 2024 preliminary results of between CAD 28.5 million-CAD 32.5 million. We layer on the hard work that we've been doing in the background around cost rationalization and pushing on organic growth into 2025. You layer on the fund distributions, which we're getting from our 20% interest in our private equity fund. Now you add this transformational acquisition of Serato, which has this consistent profitability and this consistent growth profile.
It increases our pro forma adjusted EBITDA to between CAD 42.5 million-CAD 46.5 million. That allows us to continue pursuing that disciplined acquisition strategy and really accelerate that deleveraging that we've been talking about over the past nine, ten months. That's why we're excited about this. I was really looking forward to announcing it and look forward to telling you more about it over the coming months as we push to close. I guess I'll open it up for any questions for those on the line.
At this time, if you'd like to ask a question, it is star followed by one on your telephone keypad. If for any reason you would like to remove that question, it is star followed by two. Again, to ask a question, it is star one. I'll pause briefly here as questions are registered. No questions registered in queue. Again, if you'd like to ask a question, it is star followed by one.
Okay.
There are no questions registered in queue. That will conclude today's conference call. Thank you for your participation.