SFX Entertainment can't seem to right the sinking ship, despite numerous efforts that continued to give us hope. Earlier in December we reported that a Live Nation executive, James Barton, would be joining SFX Entertainment. This move seemed to be a step in the right direction, but now the deal is off and SFX is back at square one.
It was being speculated that Barton would take over as CEO and would steer SFX in the right direction due to his expertise in the music industry. With that being said, The New York Post reports that negotiations between Barton and SFX could not be concluded due to the fact that SFX would not meet the salary demands, as well as there being an obvious concern over the company’s looming financial crisis.
The news of this deal not coming to fruition comes with more bad news for SFX. There was a previously agreed upon arrangement between Spotify and Beatport that would have given Spotify exclusive content from Beatport along with live streaming of SFX events on Beatport's streaming platform. Now that the deal has also been cancelled with SFX now having to pay back the advance to Spotify of $10 million by July 1, 2016, with 2.5 million having already been paid.
To cap off all the legal battles with SFX, TMWRK, the company that manages artists like Diplo, A-Trak, Dillon Francis and a whole lot more, has backed out of their agreement. This time TMWRK will be repaying SFX $3.6 million. You can read the entire document outlining both agreements here.