U2 Dumping Live Nation Shares; Please Pay $19 Million

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U2 is now offloading a massive amount of depressed Live Nation (LYV) shares, a move that will cost the concert giant approximately $19 million.

According to SEC filings issued this morning, the total amount of shares in question is 1.56 million, carrying a Wednesday value of $3.91.

The Wall Street Journal traced the dump-off back to U2, a group promised a valuation of $25 million on the shares as part of a broader, 12-year deal.  But those promises were made before markets nosedived, and at current valuations, the shares are worth just $6.09 million.

The disparity comes at an unfortunate time for Live Nation, a company struggling against sinking share valuations and potentially weaker concert attendance ahead.  Elsewhere, Madonna is also rumored to be considering a similar move, though Live Nation chief executive Michael Rapino downplayed the matter.  “Madonna and U2 are the only two deals that did contain this provision,” Rapino said. “The Madonna business is great, and we look forward to monetizing our investment in U2 next year.”

Story by news analyst Alexandra Osorio