Universal Music Group (UMG) has made a significant move in the African music industry by acquiring a major stake in Nigerian record label, Mavin.
The deal, announced on Monday, is pending regulatory approval and is expected to be finalised by the end of the third quarter of 2024.
As part of the agreement, investment firm Kupanda Capital will retain a minority stake and continue to serve as a strategic advisor to Mavin, while another investor, TPG, will fully exit. However, Mavin’s founder and CEO, Don Jazzy, along with COO Tega Oghenejobo, will continue to lead the company.
UMG’s CEO, Sir Lucian Grainge, expressed excitement about the partnership, highlighting Mavin’s talented artists and strong leadership as key factors in the decision.
Grainge stated, “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.”
The acquisition comes after reports in October 2023 indicated Mavin Records’ interest in securing investment or exploring a potential full sale, with UMG among the bidders. Mavin CEO, Don Jazzy, confirmed the label’s discussions with foreign investors in a podcast interview in January 2024.
The deal marks a significant milestone for both Mavin Records and the African music industry as a whole, signaling the growing global interest and investment in African music talent and creativity.