SoundCloud’s struggles have been well documented thus far, but now the company appears to have found a way to at least stabilize its operations. According to a report from Bloomberg, SoundCloud is close to selling stakes to Raine Group and Temasek Holdings, though specific terms are unclear…
The report explains that the deal with Raine Group, which has previously invested in outlets like Vice Media, could close by the end of this week. Meanwhile, less is known about the Temasek investment, which is Singapore’s state investment firm.
These investments would give SoundCloud a cash infusion and help the company continue day-to-day operations. The company last month laid of 40 percent of its staff as it outlined its future and committed to remaining independent.
SoundCloud hasn’t given an update on its user base since 2014 when it said it had 175 million unique visitors. The company recently introduced a new cheaper “SoundCloud Go” plan that costs $5 per month as a way of computing with on-demand services like Spotify and Apple Music. Last fall, it was reported that Spotify was interested in acquiring SoundCloud, but most gently it was reported that the company was reportedly shopping itself around for as little as $250 million.
SoundCloud has a strong and loyal user base, two things that will surely help as it tries to stay afloat.
FTC: We use income earning auto affiliate links. More.