The mega-sale of JAY-Z’s TIDAL streaming service to Jack Dorsey’s Square is officially complete. TMZ broke the news on Friday (April 30), revealing that Hov sold a majority stake in his company to Square, a financial services platform, for $350 million. Although JAY and Dorsey announced the new venture last month, the outlet writes that the two entrepreneurs closed the deal this morning.
Per the deal, TMZ reports that Square has acquired 80 percent ownership in TIDAL along with licensing deals with the major record labels and recording artists who are involved with the company. JAY and Roc Nation CEO Desiree Perez, who reportedly helped to complete the transaction, will stay on as board members to oversee TIDAL.
The sale marks a major return of investment for JAY, who initially launched TIDAL in 2015 with $56 million. At the time, he started the streaming service as a partnership with a number of high-profile artists, including his wife Beyoncé, Rihanna, Kanye West, Alicia Keys, Madonna and more.
Hov quickly began making money off the investment, selling a 33 percent share in the company to Sprint in 2017 for an undisclosed sum.
“I said from the beginning that TIDAL was about more than just streaming music, and six years later, it has remained a platform that supports artists at every point in their careers,” JAY-Z tweeted back in March after announcing the majority stake sale. “Artists deserve better tools to assist them in their creative journey.”
“Jack is one of the greatest minds of our times, and our many discussions about TIDAL’s endless possibilities have made me even more inspired about its future,” he added. “This shared vision makes me even more excited to join the Square board. This partnership will be a game-changer for many. I look forward to all this new chapter has to offer!”
With the deal finalized, JAY is also now a member of Square’s Board of Directors.
“I’m grateful for JAY’s vision, wisdom and leadership... and I’m inspired to work with him,” Dorsey previously tweeted.