BandPage, which has sold itself as the best way for bands to engage with, and sell to, their fans, has been sold.TechCrunch reports:
YouTube wants to win the love of musicians by solving their biggest problem: how to turn popularity into cash. So today it announced it’s acquired BandPage, a startup that helps artists show off and sell concert tickets, merchandise, and exclusive fan experiences.
[Update: According to a source familiar with what BandPage shareholders were sent about the terms of the deal, the financial documents say that the acquisition price was $8 million. Only preferred stock will be converted into cash, and common stock will be cancelled with no payment. A second source later confirmed the deal was for around $8 million.
Since that $8 million is much less than the $27.6 million in funding BandPage raised, the deal appears to be a firesale and few will see any significant payout. Several sources I contacted refused to speak due to strict orders not to discuss the financial terms. It makes sense that the company would try to keep it under wraps since the price was so low. YouTube declined to comment.]