JAY-Z has agreed to sell the majority of TIDAL to Square, Inc. in a deal worth a reported $350 million. Last month, Jack Dorsey’s company announced that it would be acquiring the streaming music service for $297 million, but the deal didn’t actually close until Friday morning (April 30). According to TMZ, the final figure comes in at $350 million.
Square will take 80 percent ownership of TIDAL, along with licensing deals with major record labels. The existing artist shareholders will continue to be co-owners including Beyoncé, Rihanna, Kanye West, Madonna, Alicia Keys, and Nicki Minaj.
JAY-Z is expected to join Square’s Board of Directors, while Roc Nation CEO Desiree Perez will stay on board to help run TIDAL, which will operate independently within Square. The deal allows Square to extend its platform to musicians by giving them systems, tools, and financial freedom to reach their goals.
“It comes down to one simple idea: finding new ways for artists to support their work,” said Square CEO Jack Dorsey. “New ideas are found at intersections, and we believe there’s a compelling one between music and the economy. I knew TIDAL was something special as soon as I experienced it, and it will continue to be the best home for music, musicians, and culture.”
JAY-Z acquired TIDAL from Swedish company Aspiro in March 2015 for a reported $56 million. In 2017, he sold 33 percent of it to Sprint for an undisclosed amount.
“I said from the beginning that TIDAL was about more than just streaming music, and six years later, it has remained a platform that supports artists at every point in their careers,” said JAY-Z. “This partnership will be a game-changer for many. I look forward to all this new chapter has to offer!”
Earlier this year, hip-hop’s first billionaire sold half of his luxury champagne brand Armand de Brignac aka Ace of Spades to LVMH Moët Hennessy Louis Vuitton. His venture capital firm, Marcy Venture Partners, also recently invested in L.A.-based fitness company LIT Method.