Pandora Shares Spike on Report It’s Open to SiriusXM Deal Talks
Story of the Week
Shares of music-streaming provider Pandora shot up as much as 17% Friday, after CNBC reported the company was open to discussing a sale to satellite-radio service SiriusXM.
Following the CNBC report, Reuters reported that Pandora is not undertaking any new effort to find a buyer, citing an anonymous source. That’s consistent with what Pandora execs said earlier this year, after a New York Times report in February that the company was seeking to sell itself.
According to the CNBC, Pandora has “expressed a willingness to engage” in deal talks with “longtime suitor” SiriusXM, which is majority-owned by John Malone’s Liberty Media. The potential talks between the companies were in “the first inning of the process,” per the report, citing unidentified sources.
Top Music News Stories
SiriusXM Must Pay Up To $99M In Flo & Eddie Class Action Settlement. The settlement guarantees $25 million payment vs. a 5.5% license for 10 years, which is worth between $45.47 million to $59.2 million, assuming the satelitte streamer plays the other class members at the same play rate as they have in the past.
Record Label A&R Spend Grew By $300m Last Year According to IFPI Report. The figure, along with many others, comes from a new IFPI report “Investing In Music,” co-signed by both the majors and worldwide independent label group WIN.
iHeart Launches Napster-Powered Subscription Service. “Ten times more Americans listen to radio every month than use a subscription service – so the debut of iHeartRadio Plus and iHeartRadio All Access powered by Napster is a unique opportunity to capture these non-music subscribers with an on-demand service built around radio.”
Dubsmash Adds $9.6 Million For Viral Music Video Lip-Sync App. The Berlin-based Dubsmash added $9.6 million in series B funding to expand its viral music video lip-sync app, after having previously raised $6 million.
Music Tech Startup Soundstr Closes $1.1M In Seed Financing. Soundstr’s patent-pending technology offers tracking data to the manner in which venues and businesses pay for the use of music, and songwriters receive royalties.
Warner Music Boss Reportedly Involved In Bid For Publisher Time, Inc. According to sources cited by the New York Post, the trio were offering $18 per share to acquire the media firm, which is a 30% premium on the price the company’s shares were trading at last week.
How Technology Is Powering The Music Industry…In Figures. Midem Blog presents various year-end statistics about the intersection of music and technology, including the massive number of users on QQ Music, “China’s Spotify.”
Our best wishes for a great week! – MediaNet