LOS ANGELES (CelebrityAccess) — Ryan Kavanaugh's Relatively, the owners of online music retailer ArtistDirect, has reportedly sealed a deal to sell the company and related assets to an undisclosed buyer for approximately $1 million.
According to Deadline Hollywood, the sale will cover the artistdirect.com website, as well as musicandirect.net, ubl.com, ultimatemusic.com, and playlisted.com. Deadline also reported that Relativity will likely cut several positions and reinvest into their efforts to produce digital content.
Founded by Marc Geiger in 1994, ArtistDirect was an early innovator in the digital music world but in recent years, has faced stiff headwinds distinguishing itself in an increasingly crowded market.
In 2008, the last year the company reported public financial information before being delisted, they chalked up $12 million in revenue against almost $48 million in losses. Relativity acquired ArtistDirect in 2010. – Staff Writers