SFX Says Goodbye to Spotify & Jack U's Management Company
The past 12 months were rough for the EDM empire SFX Entertainment, as the company saw the plummeting of stock prices, the cancelation of an entire festival and major weather and logistic issues during TomorrowWorld, not to mention SFX founder Robert Sillerman got into legal trouble... again.
The future of the EDM empire is still uncertain as Live Nation exec James Barton reportedly ended discussions regarding the role of CEO after SFX tried to recruit him. On top of this, SFX is now saying goodbye to partnerships with Spotify and management company TMWRK.
The deal between Beatport and Spotify officially ended on December 17 with a settlement agreement that requires SFX to pay Spotify a $10 million recoupable advance. TMWRK, the management company of Jack Ü, Diplo and Dillon Francis, was acquired by SFX in 2014 but is now bailing by paying the company a $3.6 million settlement. Since SFX has only paid $2.5 million of the $10 million owed to Spotify, the funds from the TMWRK buyout will come in handy.
Due to what transpired last year and recent events, SFX is one of the biggest question marks of 2016 in the EDM world.