SFX Entertainment had been toying with the idea of going bankrupt for some time and now that it's finally happened, questions still remain regarding the money. The bankruptcy filing wiped $300 million in debt, so who is being left out to dry?
A number of company's are feeling the loss after the SFX bankruptcy. One company that seems to be owed the most money is the Dutch dance music firm Alda, owed $23.6 million. Australian company Totem OneLove Group, who runs the highly popular festival series Stereosonic, are owed 10.7 million.
Others that are also hit by the SFX bankruptcy are event promoters Made Events, owed $10 million, and React Presents, owed $5.8 million. Also, PRS for Music, who recently settled a lawsuit with Soundcloud over artist royalties, is owed at least $327,680 in subsidiaries.
These company's are just the tip of the iceberg as offical trade creditors are still owed money as well. Private air-charter firm VistaJet is owed $1 million, Epic Tents out of Georgia are owed $442,650, Postlight is owed $315,000, Front Gate Ticketing is owed $301,400 and CrowdRX, a company providing medical services to music events, is owed $269,600.
With $300 million in debt wiped from the books, the bankruptcy filing grants SFX a loan of $80 million to pay off "senior money lenders". We'll be watching this story closely as it unfolds.
[via: IQ Magazine]