Back when EDM was first making a strong push into the spotlight, SFX Entertainment swept through the scene in an all out blitzkrieg, acquiring everything it could in hopes of turning a hefty profit. Then, unsurprisingly, the company went under, filing for bankruptcy in February. SFX proved to be inauthentic in every sense, which is the exact opposite of what being part of the dance music community is all about.
Now the company's puppet master has finally come forward to address the situation for the first time since the event behemoth crashed into bankruptcy.
Robert Sillerman got into the business of EDM as early as 2012. Backed by a massive amount of capital, he began to acquire some of the industry's most successful assets including Tomorrowland production company ID&T, Australia's Stereosonic brand, Beatport, and more.
The idea was to build an EDM empire that he could eventually unload to the highest bidder. Sillerman, who made his fortune buying up radio stations in the 80's, and later moved on to concert promoters that would eventually become Live Nation, had intended to make a massive profit off the EDM industry.
After purchasing his $1 Billion empire, SFX went public at $13 a share. Despite attempts to re-privatize the company, SFX entered into bankruptcy in early 2016 with shares worth a record low of 7 cents per share.
Sillerman has finally made his first public comment since the company's fall from grace.
In regards to whether Sillerman overpaid for assets, he stands by the decisions he made.
"It’s easy to say that in hindsight...We bought companies based on what we anticipated -- that we could bring in incremental sources of revenue"
According to former employees of SFX, the company never had a clear strategy in the first place.
"They thought they had a plan to make one plus one equal three...But there was never a point at which the company was functional."
Sillerman admits to some mistakes, but seems to think that SFX isn't done yet.
"When the company emerges from bankruptcy, it will be a robust and successful enterprise...But it will be different"
For the full interview head over to Billboard.
[Images: Billboard & Robin Marchant/ Getty Images]