Headphone Maker with Ties to Drake, T.I. Files Bankruptcy (1)

Headphone maker Muzik Inc. filed for Chapter 11 in California, listing a slew of potential high-profile equity holders that include musicians Drake and T.I. and NBA players Chris Paul and Bradley Beal.

The Los Angeles-based company also named, in court papers filed Wednesday, potential equity holders including musician Travis Barker, NFL player Brandon McManus, MLB player Matt Kemp, mixed martial artist Brian Stann, and a trust associated with Lionel Richie.

Muzik listed assets and debts between $10 million and $50 million.

The wireless headphone developer’s unsecured claims include an estimated $2.2 million employee severance lawsuit and a roughly $800,000 Paycheck Protection Program loan, according to a company filing.

Drake, whose real name is Aubrey Graham, and T.I., whose real name is Clifford Joseph Harris Jr., are among several celebrities listed as potential equity holders in the company’s Chapter 11 petition. Others include Twitter Inc., NBA player Kyle Lowry, and KZC Entertainment LLC, a company associated with actress Zendaya, according to the petition.

The celebrities’ names were included in what the company called an “Equity Holders’ List” filed in bankruptcy court alongside the Chapter 11 petition. The company said it filed the list “pursuant to the Local Bankruptcy Rules,” but that “the inclusion of an individual or entity herein does not mean that such individual or entity is an equity holder of the Debtor.”

The filing did not provide additional information about the names on the list.

In a 2020 press release, the company said it had partnered with more than 80 “icons” in sports, fashion, music, and technology as part of its smart headphone technology.

Muzik is represented by Levene, Neale, Bender, Yoo & Golubchik.

The case is Muzik, Inc., Bankr. C.D. Cal., No. 23-16304, 9/27/23.