SiriusXM purchases minority stake in SoundCloud for $75 million
SiriusXM has announced its $75 million purchase of a minority stake in streaming platform SoundCloud and two seats on the board. The broadcasting conglomerate revealed its investment in the Berlin-based company through a press release on February 11.
The two audio players previously worked on an ad partnership in 2019 that yielded highly successful results. Under the agreement, advertisers and brands were able to purchase SoundCloud’s ad inventory through SiriusXM subsidiary Pandora.
SiriusXM’s investment follows an eventful journey for the open audio platform, which received a $170 million rescue investment in 2017 after massive layoffs and dangers of going under. SoundCloud has since reorganized under new leadership and doubled its revenues over the past two years for what is the company’s strongest sequential financial quarters in its history.
H/T: The Fader