03.08.21 - Twitter founder Jack Dorsey’s fintech company Square has acquired a majority stake in Shaw Carter’s Tidal a music streaming app - backed by a consortium of music industry heavy weights. The stake was purchased for $297 million in a cash and stock deal. This deal comes on the heels of Carter’s Ace of Spades deal with LVMH.
Existing artist shareholders will be the remaining stakeholders. Tidal will operate independently within the Square framework alongside Seller and Cash App a move that we could only speculate will significantly lower transaction fee costs.
In a statement on Twitter, Dorsey wrote, “Square is acquiring a majority ownership stake in TIDAL through a new joint venture, with the original artists becoming the second largest group of shareholders, and JAY-Z (Shawn Carter) joining the Square board.”
Jay-Z also released a statement on his Twitter page, and it’s the first post made on the account since 2018.
Source: Yahoo Finance
