Pandora Media

Sirius XM buys stake in music streaming site Pandora

Pandora is raising cash to help it take on Spotify and other streaming music services.

The online music service is selling a 19 percent stake in its business to satellite radio company Sirius XM for $480 million. Pandora will pay a $22.5 million breakup fee to private equity firm KKR for breaking up a previously agreed $150 million deal.

Pandora, which is based in Oakland, California, will raise another $200 million selling its Ticketfly ticket service to Eventbrite — a service Pandora bought for $450 million in 2015.

Pandora works as an internet radio, and most users listen for free. But its financial losses have deepened in the past few years while its user base has...

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