MUMBAI : Universal Music Group (UMG), the world’s leading music company, and Univision Communications Inc., the leading Spanish-language media company in the U.S. announced a agreement under which UMG will acquire UMG, including its music recording and publishing division.
Univision Music Group is the No. 1 Latin record company, which includes Univision Records, Fonovisa Records, Disa Records, Univision Music Mexico and Univision Music Publishing in the U.S. Financial terms of the transaction were not disclosed, and the acquisition is subject to regulatory approvals and customary closing conditions. As part of this transaction, UMG will continue Univision Music’s long-established and successful relationship with Univision’s broadcast television networks under a long-term agreement that will allow UMG to promote its Latin artists on the Univision Network, the most-watched Spanish-language broadcast television network in the U.S. reaching 99% of U.S. Hispanic Households, and on leading Spanish-language network TeleFutura.
“Univision Music Group’s artists, labels and catalog are among the finest in Latin music,” said Zach Horowitz, president and chief operating officer of UMG. “This acquisition expands UMG’s presence in one of the most dynamic and vital genres of music today. We are especially excited about our important partnership with Univision’s television networks, the most-watched Spanish-language broadcast television networks in the U.S., as we continue the major television advertising campaigns that have proven so effective in promoting Univision Music’s artists in the past. We’d also like to thank Jose Behar, President and CEO and Founder of Univision Music Group and his team for all their efforts in building the company into what it is today.”
“We are delighted with this transaction and pleased that our talented artists will continue to flourish with UMG, the global leader in the music industry,” stated Joe Uva, Chief Executive Officer of Univision Communications. “The sale of Univision Music Group is an important step in the execution of our strategic plan to divest certain non-core assets in order to focus exclusively on our television, radio and online businesses.”
Doug Morris, chairman and chief executive officer of UMG, added, “The acquisition of Univision Music Group highlights our ongoing commitment, and that of our parent company Vivendi, to the music business in general and to the Latin music business in particular. Univision Music Group’s artists are among the best in any genre of music.”