Jimmy Iovine & Dr. Dre's 'Beats By Dre' Looking To Add New Investor
(AllHipHop News) Beats Electronics is reportedly in talks with a new investor to purchase a minority stake in the company founded by music executive Jimmy Iovine and Hip Hop producer Dr. Dre (Andre Young).
According to unnamed sources for The Wall Street Journal, Beats wants to expand its brand to include speakers, car audio systems, and the streaming music service Beats Music. The financial investment by a new party would help with the company's move into other music platforms. The sought after investor still remains unknown.
Iovine and Young are also said to be interested in buying out current partner HTC. The Taiwanese phone maker bought 50.1% of Beats in 2011 but sold almost half of its stake back to Beats in 2012, a net loss of $4.8 million from its original $300 million investment. HTC is still the largest share holder in Beats Electronics with 25.1% ownership in the company.
In 2012, Beats By Dre reportedly controlled 51% of the headphone market. The privately owned company has created endorsement partnerships with celebrities like Lil Wayne, Nicki Minaj, LeBron James, and Lady Gaga.
No one involved in the potential overhaul at Beats Electronics has commented publicly on the matter as of yet.