Go Shop Period Ends At SFX, Timer Starts On Sillerman's Buyout Bid

NEW YORK (CelebrityAccess) — Electronic dance music company SF Entertainment finished an extended 'go-shop' period, seeking competing to offers to founder Robert S.F. Sillerman's bid to take the company private without interest from other suitors.

However, according to Forbes, SFX’s board and advisors have indicated that they are willing to consider the sale of a minority stake in the company, or the sale of individual assets in favor of Sillerman's attempt to buy out the company, which valued the SFXE at $774 million.

SFX on Monday indicated that they had ”received several indications of interest regarding the potential acquisition of various components of the company’s business. The committee and management are continuing to review these indications of interest” Forbes said.

Despite the reports of interest, Sillerman's tender still appears to be on track, but he now has to complete the transaction in a ten day window starting with the close of the extended go-shop period on July 24th. Sillerman has previously indicated that the buyout would be an all-cash deal, but has offered no insight into the source of the funding.

“Unless an alternative transaction is proposed, reviewed and approved by the special committee, the previously announced merger transaction is expected to close during the fourth quarter of 2015, subject to the approval of SFX shareholders, as well as the satisfaction of certain customary closing conditions,” the company said.

SFXE launched their IPO in September, 2013, debuting at $13 a share, which placed the company's valuation at more than $1 billion. However, since then, the company's stock has suffered and is currently valued at $3.22. Sillerman announced at the May that he intended to take the company private, offering $5.25 per share. – Staff Writers

Related Post