Sillerman’s New, Lower Bid For SFX

Robert Sillerman has made another cash bid to acquire his dance music festival company SFX, much lower than his previous proposal.

The latest proposal is $2.25 per share plus a $1 per share contingent on the future value of the company, according to the Wall Street Journal. Shares raise 20 percent on the news to $1.25 and ended Oct. 16 at $1.17.

 Sillerman, CEO of SFX, owns roughly one-third of the company.

SFX had agreed to a $5.25 proposal from Sillerman but that deal was derailed after the stock’s share price took a nose dive.

On Oct. 15 SFX was notified that it was not in compliance with NASDAQ’s listing requirement that its share price not fall below $1.00 for 30 consecutive business days. The company has until April 12 to regain compliance, which would require a closing share price of $1.00 or greater for at least 10 consective business days.