U2 make $25m from selling shares in their own promoter

Music industry, Music news

U2 make $25m from selling shares in their own promoter

It’s business, not rock n roll, that Irish band, U2, look interested in. They have exercised a clause in their contract with Live Nation, the company which handles their tours and merchandising, to buy back 1.6 million shares from the band for $25m. That figure is $19m above the stock’s market value. Live Nation shrugged off the loss, saying the deal represented its longterm faith in U2 and that it ‘looks forward to monetising our investment in U2 next year’. Madonna is the only other artist with such clout. The Material Girl has a similar $25million option to sell shares in Live Nation in April next year. Since she joined the management company in 2007 (signing a 10-year deal worth $120 million) Live Nation shares have fallen by 83 per cent.