Beatport, Fame House to be auctioned off by SFX Entertainment in MayBeatport

Beatport, Fame House to be auctioned off by SFX Entertainment in May

Due to parent company SFX Entertainment‘s ongoing bankruptcy filing, Beatport and Fame House will be auctioned off in May. Court documents reveal that although “…Beatport Assets are valuable to the SFX enterprise, given SFX’s current financial condition, SFX cannot afford to make additional investments in Beatport as may be needed in the future, and therefore, has decided to sell the Beatport Assets,” while Fame House is described as no longer being “core” to SFX’s business.

Once thought to be a burgeoning juggernaut in the electronic music scene, SFX Entertainment, and subsequently Beatport, has seen its star dim considerably during an ongoing attempt to privatize. Notably, a former parter filed a $100 million lawsuit against the company and — perhaps more damningly — Beatport briefly froze its royalty payments to artists. This contributed to a $7.5 million loss in revenue from 2014 to 2015 for Beatport.

Interested groups must meet the following criteria if they wish to submit a bid: compliance with Beatport’s customer data privacy policy, provide proof of financial stability, and agree that their offer cannot be reversed before the sale date. Filings show that 24 parties have shown interest in acquiring Beatport; 18 of those have signed non-disclosure agreements and are pursuing due-diligence. Bids must be submitted by April 28, with an auction to follow on May 3. Court approval of the sale will follow on May 5.

SFX’s downsizing continues with the auction of in-house digital marketing agency, Fame House. Acquired in 2013 and counting DJ Shadow and Pretty Lights as early clients, the agency pivoted primarily to marketing fellow SFX properties Made Event, ID&T, and Beatport.

Via: MiXMAG, Billboard

Read More:

Beatport releases free BitTorrent starter pack for producers

Beatport reports $7.5 million loss in revenue

Above & Beyond, Oliver Heldens and more team with Beatport in support of climate change for #ListenParis2015

Tags: , ,