Carlyle invests in Dr. Dre's Beats, valuing company at more than $1 billion
(Reuters) - Beats Electronics LLC, a maker of headphones founded by rapper Dr. Dre and music producer Jimmy Iovine, will get a $500 million investment from Carlyle Group (CG.O), a person familiar with the matter said, valuing the company at more than $1 billion.
Beats said on Friday that funds to buy the minority stake would come from Carlyle Partners V, a $13.7 billion buyout fund, but did not disclose details.
Beats, which also sells earphones and speakers under the Beats by Dr. Dre brand, said it would buy back the 24.84 percent stake in the company held by Taiwan smartphone maker HTC Corp (2498.TW).
HTC, which has been battling stiff competition from Samsung Electronics Co Ltd (005930.KS) and Apple Inc (AAPL.O), said it would sell the stake for $265 million and record a pretax profit of about $85 million. (link.reuters.com/vyw43v)
HTC bought a 50.1 percent stake in the company in 2011, but sold half of it a year later.
(Corrects headline to insert words "more than")
(Reporting By Maria Ajit Thomas in Bangalore and Greg Roumeliotis in New York; Editing by Maju Samuel)
NEW YORK/BOSTON - JPMorgan Chase & Co is warning some 465,000 holders of prepaid cash cards issued by the bank that their personal information may have been accessed by hackers who attacked its network in July.
- U.S. small businesses boosted borrowing in October to its highest level in over six years, an index showed on Tuesday, fresh evidence that the budget battle that shut the federal government for 16 days did little to derail underlying economic growth.
BEIJING/HONG KONG - China reiterated its opposition on Thursday to a European Union plan to limit airline carbon dioxide emissions and called for talks to resolve the issue a day after its major airlines refused to pay any carbon costs under the new law.