Beatport Goes Private; Suspends Payments to Music-Rights Holders
Following corporate restructuring, payments will resume in the next weeks.
Beatport has put payments to artists and record labels on hold while its parent company, SFX, transitions from its standing as a publicly-listed entity to a private one. In an email to music-rights holders, the popular online retailer writes:
“Since inception over 10 years ago Beatport has paid almost $200,000,000 to its label partners. Beatport’s parent company, SFX, is currently involved in a ‘going private’ process that has trapped certain earned label payments. This process will be coming to an end in the next few weeks, at which time all payments will be able to be made. Beatport prides itself on being the broadest and original friend of the makers of electronic music and will clear this one time obstacle very shortly. In the meantime, feel free to contact your label manager with any questions. Thank you for your patience and continued support.”
According to Resident Advisor, Beatport recently inked a deal with Spotify around streaming services, and is currently in the midst of corporate restructuring; chairman and CEO Robert Sillerman will be the company’s new owner.