Putting rumours to rest, Universal Music Group, the world’s largest music company, announced on February 26, 2024, that it has acquired a majority stake in Mavin Records Music. This significant acquisition is still awaiting regulatory approval.
“Universal Music Group (UMG), the world leader in music-based entertainment, today announced a majority investment in one of the world’s most dynamic and exciting independent record labels, Mavin Global (Mavin). The deal remains subject to regulatory approval and is expected to close by the end of Q3 2024,” the press release reads.
You may remember a previous report on Fab.ng, which mentioned an article published by Billboard about the possibility of Mavin Records being bought by international music companies like Universal Music Group (UMG) and HYBE.
The Billboard report stated that Mavin Records was in talks with a potential buyer, with the sale possibly exceeding $100 million.
Don Jazzy, the founder and leader of the music brand, appeared on the “Zero Conditions Podcast” and confirmed that he was open to the idea of selling his company. However, he emphasised that any such deal must allow him to remain in charge of the label’s operations.
Here, we directly quote Don Jazzy regarding the acquisition:
” I’m proud of the artists, careers, and brand we’ve built that have made Mavin the force it is today. In this historic partnership with UMG, we will continue that mission in Africa and across the globe.”
Universal Music Group’s chairman and CEO, Sir Lucian Grainge, stated:
“Our criteria for identifying partners is straightforward: great artists, great entrepreneurs, great people. With Don Jazzy, Tega, the Mavin Global team, and their artist roster, we’ve found ideal partners with whom to grow together. Mavin’s brilliant artists have been catalysts in the transformation of Afrobeats into a global phenomenon and we’re thrilled to welcome them into the Universal Music Group family.”
While the official press release didn’t disclose the specific financial details of the acquisition, it did confirm two key points:
- TPG Exits Completely: TPG, a previous investor in the music brand, has fully divested their stake in the company.
- Kupanda Capital Remains Involved: Kupanda Capital, another former investor, will retain a minority ownership interest in Mavin Records. Additionally, they will continue to offer strategic guidance to the label.
This acquisition officially makes Mavin Records a subsidiary of Universal Music Group (UMG), the world’s largest music company. UMG boasts a diverse portfolio of other record labels, including Def Jam, Motown, Interscope, Polydor, Republic Records, and Virgin Music.
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