Rolling Stone founder sells 49 percent stake in the magazine to Singapore's BandLab

CALIFORNIA, U.S. - After suffering a steady drop in readership and advertising, renowned music magazine that revolutionised reporting in the genre - Rolling Stones has for the first time allowed an outside investor into the main frame of affairs. 

The magazine’s founder, Jann Wenner is reportedly selling 39 percent stakes to Bandlab, a Singapore-based digital music company. 

BandLab Technologies was founded in 2015 by the third son of one of Asia’s richest families, 28-year-old Kuok Meng Ru and the firm functions as a social network for musicians and fans. 

Funded by private investors, including the founder’s father and Singapore-based agribusiness tycoon Kuok Khoon Hong and maker of audio mixers, JamHub Corp.

As part of the deal, BandLab will look at a new Rolling Stone International subsidiary, reportedly based in Singapore. The new company will develop live events, merchandising and hospitality opportunities in Asia. 

For Rolling Stone, the deal is the first of its kind that will have an outside investor in the magazine’s main frame.

Wenner’s son, Gus, the company’s head of digital was quoted in Bloomberg as saying, “It’s a big moment. There is a great opportunity to take that brand and apply it into new and different areas and markets.”

He added, “Our growth in digital has been fantastic, but long-term, my dad and myself recognise that in order to truly grow and truly transform the business," they needed to partner with an Asia-based entity.

While neither of the companies have revealed the financial terms of the deal, they clarified that BandLab would have no involvement in the editorial side of the magazine, neither will it have a stake in Wenner Media.

The move is dubbed to help Rolling Stone keep up with the times and competition around by becoming less reliant on print revenue and establish a better online space.