Grammy Week is abuzz with industry-changing news.
As you will have seen, BMG is apparently in talks to potentially acquire Concord.
Sony Music Group also chose this week to announce that it is launching a music rights acquisition JV with Singapore’s GIC, with plans to invest $2 billion to $3 billion in the venture.
Today (January 30), MBW brings you news of another transformative potential deal.
According to multiple strong sources, distribution platform DistroKid is holding talks with potential buyers over a big-money sale.
MBW hears that DistroKid is being repped by both Raine and Goldman Sachs in these discussions.
The number being bandied around Los Angeles is USD $2 billion, although some sources suggest that price could escalate even higher.
Today’s news comes hot on the heels of DistroKid investor Insight Holdings confirming that it has acquired Europe-based distribution platform Zebralution from GEMA.
DistroKid was founded by Philip Kaplan in 2013 and was valued at $1.3 billion following Insight Partners’ investment in August 2021.
In January 2024, Kaplan took more of a backseat role at the company, transitioning from CEO to Chairman.
DistroKid is now run day-to-day by President Phil Bauer.
Bauer previously served as DistroKid’s Chief Operating Officer since 2018.
The New York-based company claims that it handles 30% to 40% of new music releases globally and serves more than 2 million artists.
In October, DistroKid launched a new direct-to-fan sales platform, marking the music distributor’s push beyond audio and video distribution services and into merchandise sales.
The new platform, Direct, builds on technology from direct-to-fan platform Bandzoogle, which DistroKid acquired in 2023.Music Business Worldwide