Buyout valued at $100 mil
NEW YORK — Live entertainment promoter and producer SFX Entertainment Inc. said Friday that it agreed to acquire the producer of the successful “The Magic of David Copperfield” live show in a deal valued at about $100 million.
The companies said in a joint statement that SFX would pay about $4 a share for Magicworks Entertainment Inc., an entertainment company that began as the producer of the Copperfield show in 1982 and produced 700 live entertainment shows last year including theatrical tours of “Evita,” “Cabaret” and “The Gin Game,” and concert tours with Janet Jackson, Fleetwood Mac and Styx.
SFX said it had approved the transaction and that certain principal stockholders owning about 78.5% of the outstanding common stock of Magicworks have agreed to tender all of their shares.
Any shares not purchased in the tender offer will be acquired in a second-step merger for $4 per share in cash.
The two companies said they have worked closely together in the past, in part as two of the principal co-owners of a theatrical booking agency.
The companies said their close relationship means they anticipate sharing many resources and “achieving significant savings by eliminating overhead.”