UMG acquires the Label division of mtheory and launches “Virgin Music Group”
Approximately 19 months after the rollout of the redesigned Virgin Music Label & Artist Services, Universal Music Group (UMG) officially acquired mtheory’s label division and launched ‘Virgin Music Group’.
Major record label unveiled partial takeover of mtheory (not to be confused with San Diego-based record store M-Theory Music) and joining Virgin Music Group via an official release today. On the first front, Universal Music made it clear that the purchase was only for mtheory’s artist partnership business; “The company’s Manager Services activity, created 12 years ago, is not part of the transaction and will remain completely independent,” UMG said.
But mtheory co-founders JT Myers and Nat Pastor are set to become co-CEOs of Virgin Music Group, specifically spearheading “UMG’s expansion of indie music capabilities across all of its business units and regions.” “. Additionally, former Warner Music Group (WMG) executives will assist Universal Music in its “business development activities”, the executives said.
Virgin Music Group will host the initially mentioned Virgin Music Label & Artist Services, the rated part of mtheory and Ingrooves (which UMG bought in 2019). And under the detailed new structure, Virgin Music Label & Artist Services’ U.S. operations are set to “transition from a division of Capitol Music Group to a stand-alone company serving all U.S. labels and partners in ‘UMG,” the Big Three label said.
Then, in terms of the organizational nuances of multi-faceted development, Cameo Carlson, president of mtheory Nashville for nearly six years, was elevated to CEO of the management services firm mtheory (fully independent, yet another time). Additionally, mtheory co-founder Jon McMillan, for his part, is now CEO of “producer royalty administration platform” MPRS Global, which spun off from mtheory proper.
Addressing the announcement in a statement, UMG Chairman and CEO Lucian Grainge said: “In order to remain the best home for artists and entrepreneurs, we need to drive innovation in our own businesses. , bringing new, high-quality resources to artists from all corners of the world. world while continuing to lead the transformation of the industry.
“Nat and JT’s track record of building forward-thinking partnerships with artists based on trust, creativity and business acumen is exactly the kind of leadership we want for the new Virgin Music Group division.”
The launch of Virgin Music Group comes about six months after Sony Music Entertainment (SME) received government approval for its takeover of AWAL.
Meanwhile, Warner Music launched a group of labels called 300 Elektra Entertainment, billed as an “iconic, independent brand supergroup,” in June. July then saw WMG adopt the relatively artist-friendly “fan-powered” royalty model on SoundCloud.