(Reuters) - Electronic music festival organizer SFX Entertainment Inc (O:SFXE), which puts on days-long dance extravaganzas including one known as 'Electric Zoo', is exploring a debt restructuring, a spokesman for its chief executive told Reuters on Monday.
SFX has asked investment bank Moelis & Co (N:MC) to propose ways of slashing the company's debt pile, sources familiar with the matter told Reuters, cautioning that no decision about a particular course of action has been taken.
"It is correct that the company hired Moelis to examine broadly its position. That principally includes sales of non-strategic assets as well as examining the capital structure of the company," a spokesman for SFX CEO Robert F.X. Sillerman said when approached for comment. Moelis declined to comment.
SFX has about $300 million in debt on a market capitalisation of just $30 million (£20 million). It has blamed the cancellation of several festival days as a result of poor weather, as well as the impact of foreign exchange, for its recent financial woes.