FIRST AIRED: June 9, 2017

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Transcript

00:00:02
>> Merger talks between Pandora and Sirius XM Holdings may have broken down, but the two won't be straying far. Sirius XM announcing Friday that it's investing nearly half a billion dollars into Pandora. According to Reuters correspondent, Michael Flaherty, it''s not the all-out $15 a share buyout activist investor Keith Meister of Corvex was fighting for, but.
00:00:27
>> Investors like it because it's an infusion of money, right. At the end of the day it's like $480 million going into the pocket of this company. And that money can then be used to expand, to deliver the types of products and plans that it's promised investors. So very unique situation here where you had a media company, an activist investor, and a private equity firm.
00:00:51
>> Both companies getting something out of the partnership. Both are looking to hold onto the subscribers they have, and find new ones. WIth Amazon, Google and Apple throwing big money into the streaming music game. For Pandora, it can tap into Sirius XM's strength with the auto industry and for satellite radio company Sirius XM it has an opportunity to build stronger ties with Pandora's web and mobile device users.
00:01:17
The partnership, however, leave private equity form KKR out in the cold. Last month it agreed to pump $150 million into Pandora but that's now been axed. Pandora shares jumping on word of the investment, as it also keeps the streaming radio company in earshot range of one of the media world's shrewdest dealmakers, Sirius XM's biggest shareholder, John Malone.