Agents, investment firms, partner to buy SFX festivals?

Image: Stereosonic Melbourne

The highly-publicised global collapse of SFX Entertainment, which owns Australia’s axed Stereosonic festival, may have a buyer for its festival brands.

Independent booker Windish Agency, artist-management group Tmwrk and music management consultancy Mtheory, have formed The Unison Fund, an investment fund created for emerging artists to finance tours, record production and music videos, among other and other pursuits.

Tmwrk or Teamwork Management, which looks after Major Lazer, Diplo and Australia’s What So Not, was actually owned by SFX until early January. That month, SFX filed for chapter 11 bankruptcy to remove more than US$300 million from its outstanding debt and to take the company private. Tmwrk paid US$3.6 million to buy itself out and part ways.

According to Wall Street Journal, The Unison Fund has secured US$25 million from investors and hopes to raise another US$250 million from industry figures.

SFX’s festival brands include Tomorrowland, Electric Zoo, Q-Dance, Stereosonic, Voodoo Experience, and a 50% stake in Rock in Rio.

SFX’s collapse was felt in Australia in April, when it announced the 2016 Stereosonic festival would not go ahead. At the time, a spokesman for the event said Stereosonic would return in 2017.