BMG Rights Administration is reportedly in discussions to accumulate Harmony, in a deal that might convey collectively two of the world’s largest impartial music firms.
Bloomberg broke the information on Thursday (January 29), reporting that the potential transaction could possibly be price as much as $7 billion. Billboard individually reported that the corporate may promote for greater than $6.6 billion, citing its personal sources near the negotiations.
BMG is a division of German media big Bertelsmann.
Harmony beforehand explored a sale in 2022, turning down provides of round $5 billion.
The 2 events are understood to be working by way of the monetary construction of a possible settlement, although Bloomberg notes the businesses could not attain a deal.
A transaction of this measurement would possible face regulatory scrutiny throughout a number of jurisdictions, together with the US, EU and UK.
Ought to a deal materialise, Bob Valentine, Harmony’s Chief Government Officer, is anticipated to imagine management of the mixed entity, in accordance with Bloomberg.
That would go away BMG’s present CEO, Thomas Coesfeld, free to deal with his forthcoming function at mother or father firm Bertelsmann.
As MBW reported in November, Coesfeld, whose grandfather Reinhard Mohn constructed Bertelsmann right into a media empire, will assume the Chairman and CEO place on the mother or father firm in January 2027.
The merged firm would rank among the many largest music companies globally, doubtlessly positioning it as a fourth ‘main’ alongside Common Music Group, Sony Music Leisure, and Warner Music Group.
Harmony’s majority shareholder is Michigan Retirement Methods, the pension fund for the US state’s public faculty lecturers. The fund has been a long-term backer of Harmony.
BMG has invested roughly €1.2 billion ($1.4 billion) in music rights acquisitions since 2021, Bloomberg famous, finishing 17 catalog offers within the first half of 2025 alone.
Each firms declined to touch upon the experiences. A Harmony spokesperson acknowledged: “As a matter of coverage, we don’t touch upon rumors or hypothesis.” A BMG spokesperson acknowledged “current media hypothesis” however mentioned the corporate doesn’t touch upon “market rumors or unconfirmed experiences”.Music Enterprise Worldwide
