In a surprising move, SFX Entertainment has announced it will not be auctioning off Beatport.
It was expected that the company would be parting with Beatport as part of the Chapter 11 bankruptcy filing which occurred back in February. The initial auction was delayed and the company announced the closure of it's news outlet and streaming service, which lead to the auction's extension.
Over the course of the past few months SFX has been unloading assets, but have changed their mind regarding the online music store due to recent changes which "have dramatically improved its profitability."
Back in May, Beatport's founder and former CEO penned a letter describing how the company could be saved. Now perhaps SFX has taken his advice and is getting back on track with what made the company successful early on.
You can read the official statement below:
“Our renewed focus on the Beatport Store, following our announcement of platform changes in May, 2016, has been well-received and successful. The changes we implemented have laid a strong foundation for Beatport that have dramatically improved its profitability.
"As a result of these improving trends, SFX has determined that retaining ownership of Beatport is in the best interest of the Company and has withdrawn its motion to sell Beatport through the Chapter 11 process. We look forward to emerging from Chapter 11 in the next few months, as strong and vibrant business, positioned to pursue both organic and strategic growth options. The dedicated Beatport management team is committed to continuing to serve our core DJ customer base and enhancing the quality of our customer experience.”