SFX may file for bankruptcy
2015 proved to be a devastating year for Robert Sillerman’s event conglomerate, SFX Entertainment, Inc. After a series of lawsuits and continuously crippling financial hits, the company has amassed an inordinate amount of debt. Now that SFX’s attempt at recruiting James Barton — Live Nation’s President of Electronic Music- – to restructure their debt has fallen through, it seems that the company’s unfortunate tale may be near its end.
At press time, Nasdaq reports that SFX “has $312.6 million in debt, mainly senior bonds due in 2019. As of Sept. 30, the date of SFX’s most recent earnings report, the company had $59.8 million in cash on hand.” SFX, which reportedly “received a waiver of defaults on $30 million in debt through Jan. 28,” states that it may now file for bankruptcy. According to Nasdaq, SFX reported last year “that it may not have sufficient cash to fund its debt obligations during 2016.” Though the company has not yet officially filed for bankruptcy, it appears that at this point, its dissolution is inevitable.
Via: Nasdaq.
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