Universal Music Group acquire Majority Stake in Nigerian Label Mavin Global

With musicians like Rema and Ayra Starr calling it home, the organisation is leading the way in Africa's Afrobeats trend, which has been taking the world by storm.

The renowned record label Mavin Global, created by Don Jazzy and is home to Rema, Ayra Starr, Crayon, and Ladipoe, was acquired by the Universal Music Group for a 75% interest. The firms stated that assuming regulatory approval, the merger should be finalised by the third quarter.

The agreement's terms were kept a secret. It was unclear whether publishing was included in the deal when Billboard reported in October that Shot Tower Capital was shopping Mavin at a valuation of more than $125 million, with a potential sale price of $150 million to $200 million. Don Jazzy, the CEO and founder of Mavin, and COO Tega Oghenejobo have entered into an investment agreement.

"Great artists, great entrepreneurs, and great people are our simple criteria for identifying partners," UMG chairman and CEO Lucian Grainge said in a statement announcing the agreement. We've found the perfect partners to expand within Don Jazzy, Tega, the Mavin Global crew, and their artist list. We're excited to have Mavin's talented musicians join the Universal Music Group family as they have helped to make Afrobeats a worldwide sensation.

With Rema's "Calm Down," the biggest Afrobeats song ever and the number three spot on the Hot 100 last year, initially released by Virgin Music and its remix featuring Selena Gomez licenced to Interscope, Mavin had already built a relationship with UMG. Meanwhile, Starr has a contract with Republic. Since its debut, "Calm Down" has received over 1 billion on-demand plays in the United States alone, with a much higher total number of plays worldwide.

According to a press release, the investment is intended to accelerate Mavin's global expansion. It specifically targets the company's Artist Academy, which develops its roster's musical and performance abilities, as well as its executive leadership team, which aims to develop the next wave of African leaders in the music industry.

Oghenejobo stated in a statement, "Given the diversity and potential of our business, we have a strong belief that they are the ideal partner for the next phase of our growth, especially with our proven history of collaborations within the UMG family."

Some of the top musicians and record companies in the world call UMG home, which makes them the ideal fit for our goals. We are committed to creating a dynamic creative atmosphere that elevates African music to new heights on the international scene, and we are doing so by working with UMG.

Winning the Mavin auction propels UMG farther into the Nigerian Afrobeats industry, which is an umbrella term for Afropop, Afro-fusion, high life, and other genres that are still exploding globally. Wizkid, Davido, and Burna Boy are just a few of the artists who have become international superstars in recent years. Meanwhile, fresh African talent is being spearheaded by artists like Rema, Starr, Tems, Tyla, Ckay, Asake, and Fireboy DML. The movement has gathered so much traction that the Recording Academy created a new category for the Grammy Awards called "Best African Music Performance." Tyla's song "Water" won in this category earlier this month.