Dec 6, 2024, 11:43 AM
Dec 6, 2024, 11:43 AM

Adam Clayton and Kylie Minogue's stakes in MagicWorks sold to new company

Highlights
  • MagicWorks, which operates as ROXi, is moving forward with a sale to FastStream Interactive.
  • The deal involves raising £5 million to support the launch of new interactive TV channels.
  • This restructuring aims to ensure that ROXi's creditors are fully repaid and will showcase new services at the CES in January.
Story

In the United Kingdom, a music-streaming service called ROXi is undergoing a significant restructuring process that is set to finalize around December 12, 2024. The company is selling its assets to FastStream Interactive, a new holding firm planning to launch several interactive TV channels in the United States. This deal involves raising approximately £5 million from existing and new investors to facilitate the new venture while ensuring that ROXi's creditors will be fully repaid. The restructuring comes at a pivotal time as the company prepares to showcase its new services, leveraging the support of prominent investors and media executives. This process is essential for ROXi's growth strategy, supported by key figures such as Adam Clayton from U2 and financier Guy Hands. The involvement of high-profile investors like Kylie Minogue and Simon Cowell illustrates the entertainment industry's interest in this innovative platform. FastStream Interactive aims to introduce its interactive TV music video channel next month, capitalizing on evolving viewing habits where audiences desire the ability to skip content they find uninteresting. The presence of backers from American broadcasting networks, including Sinclair, indicates a significant investment in the expanding digital media landscape. The upcoming Consumer Electronics Show (CES) in Las Vegas, scheduled for early January, will serve as a platform for showcasing FastStream's offerings. The company’s goal to launch conventional broadcast channels alongside its interactive technology indicates a trend toward a more viewer-centric approach in television programming. Given the competitive nature of the media industry, this move by FastStream could usher in a new way for consumers to interact with content, setting the stage for a disruptive shift in how television is consumed. As the media landscape evolves, the initiative by ROXi and FastStream may provide valuable insight into future broadcasting trends while highlighting the role of shareholder involvement in shaping strategic decisions. The restructuring plans have been aided by professional service firms like Begbies Traynor Group and Rockefeller Capital Management, as they guide the process of asset sale and ensure the transition is smooth. Ultimately, these developments reflect the need for businesses to adapt in an age of rapid technological innovation and consumer demand for interactivity and choice.

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