After news of a class action lawsuit as well as their stock plummeting, this has been quite the tumultuous year for SFX Entertainment. The company that owns festivals like Tomorrowland, Stereosonic and Electric Zoo has found itself in deep water (pun intended) yet again as the TomorrowWorld fiasco seems to be the icing on the cake for their disastrous year.
Now, The New York Business Journal has reported that SFX is looking to sell off assets in a fire sale. What this means is that over the years SFX had acquired numerous assets and it now seems that they severely overpaid for those assets so in order to try and save the company they need to sell assets at a discounted rate.
Some of the companies that may be up for grabs include: Beatport (a music download website), Totem OneLove Group Pty Ltd. (a producer of Australian electronic music festivals), ID&T (an Amsterdam-based producer of dance music festivals that put on the Sensation event at Brooklyn’s Barclays Center in 2014), Flavorus (a ticketing company), Chicago-based React Presents, Monumental Productions BV (a company known for the Awakenings brand), A 50 percent stake in Alda Holding BV (a dance music event producer).
Stock prices for SFX Entertainment fell to a new all-time low of $.42 on Sept. 28 after news spread of TomorrowWorld’s cancellation and their massive refund liability to roughly 190,000 ticketholders.