Excellent analysis and quite irrefutable as well.
One of the main points that Ive been curious about was NGHTs willingness to assume the pre merger debts that were on the books and why they would pick this particular shell to merge with, giving the fact that they were assuming these debts.
Your spot on here and I thank you for your work.
EDM shows are experiencing great growth for sure, it reminds me of the days of Disco as Im old enough to have experienced that.
Ive been involved in Concert Promotions for over 10 years and I can tell you first hand that they are tricky ventures. When they are successful it can rain money but they can easily loose money as well
At the end of the day NGHT owns a bar that holds dance music events and they produce 2 fairly large festivals.
They do not own the venues for the festivals which will greatly impact their bottom line depending on how well they negotiate there venue fees.
The shows at Stereo Live run the gamut from well known acts that are usually booked tru SFXE’s operating entity Disco Donnie Presents (more fees and a smaller piece of the pie for nght) to local acts that they book them selves.
Its 355 pm on Saturday and their show tonight, mostly local talent is not sold out as I just checked and was able to buy 4 tickets.
The cover is 10 to 15 dollars and a good many folks are getting in for free by being on the advance list.
These kids are not big spenders. NGHTs own demographics that were filed with the FCC shows that there target audience makes less than $50,000 a year in income.
For the most part EDM kids do Molly that the buy from there own dealers before the show and they consume bottled water.
They are not going to get rich tonight, they probably will get laid and have a great time and that’s fine as those are the perks in this business.
NGHTS earnings growth, if any, has to come from expanding their outdoor festivals and growing them into well known events with 20,000 pluss in attendance.
If the can do this then money will rain. I dont think for a second that serious earnings will be coming from Stereo Live's operations.
AI
