It’s being widely observed that recent investment in music copyrights has started to spiral upwards – as market confidence grows over streaming’s future potential.
You won’t read a better example of that today than this: MBW is hearing from very solid sources that BMG paid just north of $100m for Jason Aldean’s label family, BBR Music Group.
As we reported earlier, BBRMG incorporates associated labels such as Broken Bow Records, Stoney Creek Records, Wheelhouse Records, Red Bow Records and music publishing company Magic Mustang Music.
Alongside Aldean, its other artists include Trace Adkins (pictured), Dustin Lynch, Randy Houser, Thompson Square and many others.
The nine-figure acquisition price partly reflects BBRMG’s market influence: it’s regarded as something of an independent powerhouse in Nashville, boasting seven multi-platinum or platinum albums since being founded in 1997.
“This is a significant milestone in the development of our recorded music business in the US. At a stroke it gives us a major presence in the Nashville market and one of the most dynamic genres in American music.”
Hartwig Masuch, BMG
But there is also a big strategic advantage for Bertelsmann-backed BMG here which arguably would not have benefited its rivals so much.
Despite having a long-established foothold in Nashville on the publishing side, BMG didn’t previously own a base for its growing recordings business in Nashville.
Now it’s got one of the most respected in the region – along with 48 expert staff.
BMG declined to comment on the sale price when we contacted the company today.
However, speaking exclusively to MBW, BMG CEO Hartwig Masuch, who is currently traveling in Europe, said:
“This is a significant milestone in the development of our recorded music business in the US. At a stroke it gives us a major presence in the Nashville market and one of the most dynamic genres in American music.
“Our plans for the future are as ambitious as ever. There is a huge hunger from artists and songwriters for a new and fairer music business which delivers them the service they deserve.
“We are here to satisfy that hunger and offer them a real alternative.”Music Business Worldwide