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Comcast nearly invested millions in the doomed Fyre Festival’s parent company

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Comcast nearly invested millions in the doomed Fyre Festival’s parent company

Fyre

YourTube/Fyre Festival

A still from the Fire Festival’s promotional video.

In the days leading up to the disastrous Fyre Festival — where hundreds of would-be partiers were stranded on an island in the Bahamas without food or shelter after being promised a music festival — Comcast elected not to fund its parent company, Fyre Media, Bloomberg reported, citing an anonymous source.

Comcast was interested in funding Fyre, an on-demand booking app for celebrities. But a due diligence review revealed the app itself wasn’t technically sophisticated enough to fund, and Fyre failed to turn over financial documents in a timely manner. 

Comcast also concluded the company’s namesake festival was headed on a disastrous course, and likely wouldn’t have a positive outcome, according to Bloomberg. (They were correct).

A former employee told Bloomberg that founder Billy McFarland had previously told employees Comcast invested $20 million in the app company  but a Comcast employee told Bloomberg it never invested anything. Negotiations between between the two did get far enough for Comcast’s venture arm to submit a term sheet.

The deal between Comcast and Fyre was called off just days before the doomed festival.

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