Warner Music Group, Providence Equity Have $650M To Acquire Music Catalogs
Warner Music Group and Providence Equity Partners are partnering to invest in recorded music and music publishing catalogs with a new joint venture, Tempo Music Investments.
Tempo was launched with $650 million in equity and debt capacity, with most of the equity coming from Providence, an investment firm specializing in the media, communications, education and information industries.
WMG will handle administration for music publishing and distribution for recorded music. Tempo will enlist Influence Media Partners, a new management company, to explore investment opportunities and drive catalog performance.
Tempo’s first acquisitions include select copyrights of Grammy Award-winning songwriters Jeff Bhasker, Shane McAnally and Ben Rector.
Bhasker has 15 nominations and 5 Grammy wins including Producer of the Year. McAnally is a three-time Grammy winner and seven-time nominee who also serves as Co-President of Monument Records. Indie artist Rector is has had success in licensing music across numerous TV shows, national ad campaigns and film trailers.
“More than ever before, the long-lasting value of music is being recognized outside the music industry. We’ll be devoted stewards of these amazing catalogs created by songwriters and recording artists across the globe, and WMG is very happy to be partnering with Providence in this pioneering venture,” said Stu Bergen, CEO, International and Global Commercial Services, Warner Music Group.
Josh Empson, Managing Director at Providence, said, “It is a privilege to partner again with Warner Music Group. We are excited about this innovative new relationship, which combines Providence’s investment expertise in media with WMG’s distinctive skill in working with and recognizing top artists and assets in music. We look forward to partnering with WMG and our investment management team to support creators and build a best-in-class portfolio of music assets.”