UPDATED: Alamo Records, the label imprint run by industry veteran Todd Moscowitz, is leaving its joint venture partnership at Universal Music Group for Sony Music Entertainment.
SME today announced that it has acquired a majority stake in Alamo, which is home to such acts as Rod Wave, Blackbear and Lil Durk. Moscowitz, a former top executive at Warner Bros. Records, founded the label in 2016.
Under the agreement, Alamo’s roster and catalog will “become a new frontline creative center within SME.” Moscowitz will remain CEO.
Sources tell Variety that there was a buy/sell negotiation in the months leading up and UMG opted to walk away. The deal is believed to be valued at $250 million of which UMG would receive half in the buyout, although another source disputes that number, calling it “very high.”
Said Rob Stringer, chairman of Sony Music Group, in making the announcement: “We are very excited to bring Todd and his label, Alamo, to our company. He has always been a visionary in an area of music that is now front and center of pop culture globally so we are delighted to add his experience and expertise to our creative strategy. We welcome him, his artists and his team to Sony Music and will provide all the partnership he needs to take the label to even greater heights.”
“I decided to partner with Sony Music because Rob and the team showed their deep understanding of entrepreneurship,” added Moscowitz. “Being competitive in this marketplace requires being fluid, fast and innovative and I have tremendous confidence that Alamo and our artists will get the support from Sony Music to take our entire company to the next level.”
Alamo has had an impressive run of hits including songs by Blackbear, Lil Durk and Rod Wave, the latter two scoring No. 1 albums on the Billboard 200 this year.
Source: Music – Rolling Stone