Universal Music Group (UMG) has finalized the acquisition of a majority stake in the Nigerian record label, Mavin.
In a statement issued on Monday, UMG announced that the deal, which is subject to regulatory approval, is anticipated to conclude by the end of the third quarter of 2024.
Following the transaction’s closure, investment firm Kupanda Capital will retain its role as a minority investor and strategic advisor within the business. However, another investor, TPG, will completely divest its stake as part of the agreement.
Under the terms of the agreement, Mavin founder and CEO, Don Jazzy, along with COO Tega Oghenejobo, will continue to lead and manage the company’s operations.
“Our criteria for identifying partners is straightforward: great artists, great entrepreneurs, great people,” UMG boss Sir Lucian Grainge said.
“With Don Jazzy, Tega, the Mavin Global team, and their artist roster, we’ve found ideal partners with whom to grow together.”
Recall that in October 2023, Billboard reported that Mavin Records “is seeking investment or eying a potential full sale with bidding coming from the Universal Music Group, HYBE and strong interest from music asset investors in the financial sector, according to sources.”
In a podcast interview in January 2024, Mavin CEO, Don Jazzy confirmed that the label was being courted by foreign investors.
See reactions below;
swizzysand: Don jazzy no go sell people children ooo Na record label them dey o No be cult .
kalebooffical: Neo colonialism continues .
mrcbanj: Watch Don Jazzy Own another Record label . Smart moves all day Don Baba J.
soleglosamo: We always sell ourselves short they will control what comes out and who is pushed. Haven’t y’all learned from what these ppl did to hip hop?
keen_kul: I dey pity them ahead! UMG, SONY and WARNER them ehn! Those people ain’t joking with business o go ask MJ for him burial ground how far.
__liamethan: Only if you guys understand how this UMG operates you won’t be saying congratulations,donjazzy is smart enough to turn down the deal.listen to Kanye west,nd understand what is coming.
judithoflagos: Lol, una go suffer eh sebi una go break free im nigeria label and go open label, don’t try it with umg, u will enter court and dem go sue u