Music Deals -- Week 17 2021

Investment firm Blackstone has entered into a definitive agreement to acquire music company Entertainment One Music (eOne Music) from toy manufacturer Hasbro for $385 million in cash. eOne Music was part of the assets Hasbro acquired in 2019 when it bought Canadian company Entertainment One for $4bn. eOne Music assets include the Dualtone Music Group, Death Row Records' catalogue and production music company Audio Network. Blackstone's assets in the music sector include Nashville-based music rights society SESAC, mechanical rights agency HFA, and rights administration service Rumblefish. Once the transaction closes, eOne Music will function as a stand-alone business unit with current Global President Chris Taylor at the helm.

Apple and Alphabet have both invested in Steve Stoute’s UnitedMasters music and distribution company through a Series B round. Apple's investment was of $50 million. The first rounds of investment into UnitedMasters came from Andreessen Horowitz and Alphabet in 2017 for $70m. Over a million artists use UnitedMasters' platform. Insider Monkey wrote that through this deal, Apple is "getting a music distribution partner that has an edge" and that can provide data that can be analysed and then used "for advertising to fans, selling them concert opportunities and merchandise."

Los Angeles-based B2B music licensing marketplace Songtradr has acquired music technology and data company, Tunefind. Terms of the transaction were not disclosed. Founded in 2005, Tunefind operates a database and online source of information for music in television, film and video games. It partners with over 250 music supervisors worldwide to source song data directly from the executives responsible for selecting music featured in TV shows, movies, and video games. Tunefind attracts over 30 million unique visitors each year. “Tunefind is a key trusted industry resource for music use across all major entertainment formats," said Paul Wiltshire, CEO of Songtradr. "The depth of its database and coverage are unparalleled. As we continue our ambition to develop the best tools for B2B music discovery, Tunefind’s encyclopedia of music used in TV, film and gaming has considerable unrealised value, and equally our extensive data from advertising music use will expand the Tunefind offering.” In addition to Tunefind, Songradr has recently acquired music platform Pretzel, music and sound design firm Song Zu, as well as UK-based sync licensing business Cuesongs.

Penske Media– the publishing company behind Rolling Stone, Billboard, The Hollywood Reporter, Vibe, and Variety, founded by Jay Penske– has taken a 50% stake in Austin-based entertainment and tech conference and festival SXSW. Terms of the transaction were not disclosed. “It’s been an incredibly tough period for small businesses, SXSW included,” SXSW co-founder and CEO Roland Swenson. “When Jay Penske came to us with interest in becoming a partner, it was a true lifeline for us. While SXSW’s core business will retain its focus on the March event in Austin, this strategic investment also brings the exploration of new capabilities in providing quality programming to our diverse community of highly engaged creative professionals.” 

Kilometre Music Group, the Canadian music rights management company co-founded by Michael McCarty, Gavin Brown and Rodney Murphy at the start of 2021, has secured for its first acquisition the co-writing interests of Toronto-based songwriter Shaun Frank in the song 'Closer', recorded by The Chainsmokers (featuring Halsey). “It was a very tough decision to sell the biggest song of my career, but the team at Kilometre really showed me the value of this deal and I think we really landed on something here where everyone wins," said Frank. 'Closer' is the 6th most streamed song of all time. Kilometre has set up with investment firm Barometer Capital Management the Barometer Global Music Royalty Fund, and plans to invest up to CA$200 million in catalogues and music rights of Canadian creators.

Music marketing and distribution platform Beatchain has sealed a new partnership with independent record label Better Noise Music, to better help artists and listeners connect using fan engagement data. Beatchain will provide Better Noise with marketing and streaming metrics tools, allowing both the label’s roster of artists and their managers "to amplify their analytical approach to connecting with fans through music in more dynamic ways." Allen Kovac, CEO and founder of Better Noise, said Beatchain's "platform and capabilities as a forward-thinking data and marketing company have already allowed us to create successful fan-building partnerships using metrics for artists such as Bad Wolves, Cory Marks, and Dirty Heads."

Independent distributor Vydia has teamed up with Heavy Hitters Music Group to offer sync placement opportunities to artists. HHMG is a boutique song catalogue and music publisher specialised in sync placements n film, TV, video games and advertising. "Vydia is all about empowering artists in the two most important ways: ownership and monetisation," said Jessica Vaughn, who leads Heavy Hitters Music as Vice President, Sync & Creative. "Their dedication to finding every last penny for their artists is truly commendable, and we're excited to work with them and their diverse talent roster to open up new opportunities in the sync world." Vydia is an end-to-end music technology platform that provides labels and managers with the infrastructure and tools to power their business. 

Los Angeles-based sync licensing company HyperExtension has launched a publishing division, through a worldwide partnership with Warner Music Group's Warner Chappell Music. As part of the deal, Warner Chappell will be overseeing administration for the new HyperExtension publishing division, in addition to offering support for HyperExtension songwriters through its Creative Services department. The first signings to the new HyperExtension publishing division include Erik Mattiasson (Melpo Mene), Christopher Barnes (GemClub), and Henry MacLean and Dylan Grossman (Maryanne Bold). “I am thrilled to have found such a wonderful partner in Warner Chappell. This partnership has opened us up to new opportunities on a global scale, for our growing roster of exceptionally talented writers, all the while respecting and supporting our artists-first ethos,” said HyperExtension founder and CEO Rachel Komar.

US artist and entrepreneur Lil Wayne has signed a worldwide representation agreement with global talent, entertainment and sports company UTA. Wayne is the Founder and CEO of Young Money Entertainment, to which he is signed, and has a deal with Republic Records to release and market his music as well as the recordings from artists signed to Young Money such as Drake and Nicki Minaj.

Electronic music platform Beatport has partnered with Wave, specialised in interactive virtual entertainment experiences, to bring more immersive and interactive experiences to electronic music fans through the BEYOND series of events. DJ/Producers featured in the BEYOND series will transform into digital avatars, performing live in a unique virtual world and interacting with fans in real-time. "When the opportunity arose for Beatport to collaborate with Wave on the BEYOND series, there was no doubt in our minds that this would be a one-of-a-kind experience for us and each of the artists involved,” said Zach Jaffe, Director of Marketing and Partnerships at Beatport.

Talent agents Steve Lassiter, Matt McGuire and Heath Baumhor have joined forces to launch Reliant Talent Agency, a full-service entertainment company headquartered in Nashville, Tenn. Reliant already represents artists such as Travis Tritt, Kenny Loggins, Everclear, Rodney Carrington, Phil Vassar, Yacht Rock Revue, Take6, Average White Band, Sister Hazel, among others.

Producer, songwriter and artist Tommy Brown has been signed to a global publishing deal by Universal Music Publishing Group (UMPG). Brown has worked with such artists as Ariana Grande, Justin Bieber, Megan Thee Stallion and Meghan Trainor. “Tommy is the real deal. He is a top-notch songwriter and producer, and he is one of the best early identifiers of talent," said JodyGerson, Chairman and CEO of UMPG.

Warner Chappell Music has signed Anderson .Paak to a worldwide publishing administration deal, in partnership with Dr Dre’s Hard Workin Black Folks. “Anderson .Paak is a true music man who’s bringing back funk and soul with style and originality, earning him a massive global following,” said Warner Chappell co-Chairs Guy Moot and Carianne Marshall. 

Warner Chappell Music, through its affiliate in Malaysia, has signed to a global sub-publishing deal independent Sri Lankan publisher and record label OneNote Records. The company launched in 2017 and specialises in blues, country, jazz, rock and film scores. Its roster of songwriters includes Ravindu Panagoda, Suvindu Atapattuand Rashmidu Bandara. “Offering our writers and producers a closer connection to the international market and major publishers, while leaving our mark worldwide, has been one of our goals from the beginning," said OneNote Records CEO Suvindu Atapattu.

Independent music publisher peermusic has entered into a global creative joint venture with Dublin-based music publishing and management company The Nucleus. peermusic and The Nucleus will co-sign talent and work together for creative support of signings, with peermusic providing global administration, advisory, and sync services for Nucleus roster. The Nucleus was founded in 2018 by Hamlet Sweeney.

Sony Music Entertainment Mexico has acquired the music catalogue of Mexican regional label and management company Remex Music. Based in Monterey, the label was founded and managed by Germán and Domingo Chávez. Under the Sony ownership, it will continue to operate as an independent label, and will be distributed through Sony Music’s service and distribution company The Orchard.

Universal Music Group has launched the Tuff Gong Collective (TGC), a new joint venture with Cedella Marley, daughter of Bob and Rita Marley and CEO of the Bob Marley Group of Companies. TGC will focus on film and television projects, as well as signing and developing recorded music artists through UMG's Island Records’ sub-label 4th and Broadway. Cedella’s son, Soul Rebel, is TGC's Creative Director. The first artist signed through the new venture is Young Devyn. 

Sony Music Publishing has entered a partnership with The Very Good Music Publishing to provide the Stockholm-based company support for its catalogue and expand international opportunities for its roster of songwriters. The Very Good Publishing is part of music management companies The Very Good AB (previously known as Vivstilo), which was founded by Jakob Emtestam in 2011. The Very Good’s publishing arm was set up two years ago with Director of Operations Manne Björkman, VP of A&R Holly Astera, and Partner and VP of A&R Dan Karlström.

Verse 2 Music, the joint venture between Sony Music Publishing and Nashville executives Kane Brown and Kent Earls, has signed songwriter Josh Hoge to a global deal. Hoge has penned 'Think of You' for Chris Young and Kane Brown’s 'Cool Again'.