Image via: Beatport
“Payments to labels and suppliers are ongoing in their usual manner.”
“All Beatport users, customers, and partners should rest assured knowing that this action will have no impact on our ability to continue offering the most complete electronic music experience available,” it reads. “Around here, it’s business as usual.
“That means the entire Beatport platform is fully operational without restriction. The store remains open. The streaming service continues uninterrupted. New releases are being added every day. New videos are being scheduled and filmed. Payments to labels and suppliers are ongoing in their usual manner.”
Beatport was purchased by SFX Entertainment in February 2013 for around $50 million. The store has since expanded operations to include a Spotify-style streaming service for dance music and, more recently, a localised version for the Dutch market.
Despite the store’s growth under SFX, it hasn’t all been plain sailing since it was purchased by the EDM giant. Last year, Beatport froze royalty payments to labels and distributors while SFX founder Robert F.X. Sillerman attempted (and failed) to take the company private again.
SFX’s bankruptcy deal will see the company go private and wipe $300 million of debt from its books, though the “debt-for-equity swap” will provide $115 million in financing to allow the company – which also owns the TomorrowWorld and Electric Zoo brands – to operate as usual.