By Tibor Heskett, MixMag | Broadcast Music Incorporated (BMI), the world’s largest performing rights organization, is being purchased by New Mountain Capital, a growth-oriented investment firm with over $45 billion in assets under management.
New Mountain will acquire the company from the current BMI shareholders, while also reserving additional capital “to fund growth investments, new ventures and technology enhancements to help accelerate BMI’s long-term plan to maxmise distributions for its affiliates and improve the service it provides to songwriters, composers and publishers.”
Part of the agreement surrounding the purchase between New Mountain and BMI’s shareholders will be the allocation of $100 million of the proceeds of the sale to affiliates shortly after the transaction closing “in recognition of the creativity of the songwriters, composers and publishers [that BMI] have had the privilege to represent.”
The news of New Mountain Capital’s acquisition of BMI comes after the music rights organization raised its fee share from 10% to 15% last month, a year after it had switched from its not-for-profit model to a for-profit operation.
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Read more here:
https://mixmag.net/read/private-equity-firm-new-mountain-capital-bmi-acquisition-performing-rights-organisation-goldman-sachs-news
[Our Thanks to Michael St. James for alerting us to this change.]
November 30, 2023| Music-Related Business| Barb Dye