OAKLAND, Calif. (CelebrityAccess) — After weeks of rumors, streaming music service Pandora revealed that they have reached an agreement with SiriusXM that will see the satellite radio broadcaster make a $480 million investment in the company.
The investment, while not an outright sale, will give the Liberty Media-owned SiriusXM a long-sought-after foothold in the world of digital streaming. Following completion of the deal, the investment will see about 19% of Pandora's outstanding shares controlled by SiriusXM.
"This is a very significant juncture in Pandora’s journey,” said Tim Westergren, Pandora’s CEO, and founder. “After years of innovation and hard work we now have critical pieces in place: A massive and highly engaged audience, a market-leading digital advertising business, a best-in-class product portfolio, and a robust balance sheet that gives us the flexibility we need to attack what is becoming a larger and larger opportunity as digital music enters a new golden age."
“Pandora is now poised to advance to the next stage of the company’s lifecycle,” added Pandora Director, Tim Leiweke. “We are pleased that the conclusion of our strategic review resulted in a major investment by a world class company like SiriusXM, and with the sale of Ticketfly, we will now redouble our focus on execution supported by a strong balance sheet.” – Staff Writers