The sale of the ticketing company, which is on the market along with Beatport and agency Fame House, is being objected to by an out-of-pocket contractor
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Vivendi Ticketing, which owns See Tickets and French platform Digitick, will pay cash-strapped SFX Entertainment $4m for its ticketing arm
By Jon Chapple on 06 Jun 2016
Vivendi Ticketing, the Delaware-based subsidiary of French mass media conglomerate Vivendi that owns See Group (See Tickets UK and US) and Digitick, has agreed to acquire Flavorus from SFX Entertainment for US$4 million.
Vivendi, also the parent company of Universal Music Group (which bought marketing agency Fame House from SFX last month), won an auction held at the New York offices of law firm Greenberg Traurig on 2 and 3 June. It offered $4m in cash, minus the ‘estimated closing aggregate cure amount’, or debts owed by Flavorus, of which the largest are to SFX’s own festivals: $944,000 to Spring Awakening and $1.2m to Mysteryland. (The court document notes, however, that these debts are “expected to be $0 at the closing [of the sale] since [they] will occur after ticket proceeds for [these events] are fully settled with the client.”)
Vivendi offered $4 million in cash, minus debts owed by Flavorus
Other creditors owed money by ticket outlet Flavorus, which has exclusive ticketing rights to dance music festivals HARD and Electric Daisy Carnival, include beauty/lifestyle brand BeautyCon ($127,189.53), gay festival Long Beach Pride ($245,421.79) and live streaming company Paxahau ($163,588).
The final purchase agreement will go before the Delaware bankruptcy court for approval this Wednesday (8 June).
There has so far been no update from the court on the claim by out-of-pocket cloud computing company Salesforce, which was as of 23 May seeking over $300,000 from Flavorus’s eventual buyer.