After much speculation, Universal Music Group (UMG) has announced its acquisition of a majority stake in Mavin Records, one of the world’s most dynamic independent record labels. The deal, which is subject to regulatory approval and expected to close by the end of Q3 2024, marks a significant development in the music industry.
The potential acquisition of Mavin Records by international record labels and investment companies, including UMG and HYBE, was previously reported by Billboard. The sale, valued at over $100 million, caught the attention of industry observers and fans alike.
Don Jazzy, the Founder and Chairman of Mavin Records, expressed his pride in the artists, careers, and brand that have made Mavin a force in the music industry. He emphasized that, in any acquisition deal, he must retain control of the company.
“I’m proud of the artists, careers, and brand we’ve built that have made Mavin the force it is today. In this historic partnership with UMG, we will continue that mission in Africa and across the globe,” said Don Jazzy.
Sir Lucian Grainge, Chairman & CEO of Universal Music Group, highlighted the criteria for identifying partners, which include great artists, entrepreneurs, and people. He praised Mavin’s artists for their role in transforming Afrobeats into a global phenomenon.
“Our criteria for identifying partners is straightforward: great artists, great entrepreneurs, great people. With Don Jazzy, Tega, the Mavin Global team, and their artist roster, we’ve found ideal partners with whom to grow together. Mavin’s brilliant artists have been catalysts in the transformation of Afrobeats into a global phenomenon and we’re thrilled to welcome them into the Universal Music Group family,” said Sir Lucian Grainge.
The press release did not disclose the value of the acquisition but announced that TPG has fully exited the business, while Kupanda Capital will remain a minority investor and strategic adviser.
With this deal, Mavin Records becomes a subsidiary of Universal Music Group, joining the ranks of other prominent labels such as Def Jam, Motown, Interscope, Polydor, Republic Records, and Virgin Music.