US audio streaming subscription service Spotify will be paying $250m (€229m) for the Ringer, the multimedia sports and pop culture content hub created by Bill Simmons, according to figures reported by Bloomberg.
In the deal announced last week, Spotify will bring in the four-year-old The Ringer and all of its 90 employees in an effort to expand its global sports presence.
Financial terms were not reported at the time. The Ringer last year was reportedly seeking around $100m in acquisition talks with Warner Media that did not materialize. Spotify has already spent $400m in the past year for three other podcasting-related acquisitions.
The $250m paid for the The Ringer was reported to include a nearly $200m upfront payment, and more than $50m in additional payments to come later. Full costs from the acquisition are expected to come soon in a regulatory filing.
Simmons, who oversees a popular network of podcasts and other content at The Ringer, is the largest shareholder in the company and will see a significant windfall from the Spotify deal. HBO, a division of AT&T, owned a 10-per-cent share.