Cinq Music’s parent company, GoDigital, has secured USD $230 million in a new capital raise.
GoDigital has confirmed that the funding was led by Bank of America, with participation from Mitsubishi UFJ Financial Group, East West Bank, First Horizon, Fifth Third, and Flag Star.
The company said on Monday (November 3) that the funding brings its total capital raised to date to over USD $1 billion.
The funding news arrives alongside a revamp of the GoDigital brand.
The company has shed its former “Media Group” identity and said that it is “leaning into the future” with the creation of three new business units: GoDigital Music, Networks, and Brands.
The latest capital raise was conducted through its Los Angeles-based GoDigital Music division.
“GoDigital is a powerful brand because its vision and purpose are anchored in inspiring happiness by sharing creativity,” said Jason Peterson, Chairman & CEO.
“This financing, led by Bank of America, further validates GoDigital Music’s strategy of focusing on durable culturally significant artists and repertoire from large and fast growing markets around the world.”
Jason Peterson, GoDigital
Peterson added: “This financing, led by Bank of America, further validates GoDigital Music’s strategy of focusing on durable culturally significant artists and repertoire from large and fast-growing markets around the world.”
According to GoDigital, to “reflect its evolution to now encompass distribution, publishing, record label, and catalog innovation”, Cinq Music, which currently sits within the newly launched GoDigital Music division in L.A., will undergo a rebrand of its own.
GoDigital said that the Cinq Music rebrand “will include a new name, which will be re-launched in the near future, alongside the development of multiple other genre-specific imprints”.
GoDigital noted its press release on Monday (November 3) that the company’s “flagship music division has been a growing force in the music acquisition space” with a catalog that includes “well over” 80,000 assets, “spanning many music genres, superstar artists and multi-platinum hits”.
Cinq Music raised $250 million from its parent company in February last year for acquisitions primarily in the reggaeton, Música Mexicana, Afrobeats, and country genres.
A few months later, Cinq acquired the catalog of the late producer and songwriter José Ángel Hernández, aka Flow La Movie.
The company also recently acquired the publishing of Country music producer and songwriter Jimmy Robbins, who most recently contributed to Morgan Wallen’s chart-topping album, I’m The Problem (Dark Til Daylight, Drinking Til It Does).
Elsewhere, Cinq fully acquired record label Beluga Heights in September 2020, which included multi-platinum artist Jason Derulo’s recording catalog.
In December 2012, Cinq Music Group announced that it had acquired the master rights to rapper T.I’s catalog.
GoDigital said in a press release issued on Monday that the “news of continued investment into GoDigital Music will enable the company to scale its innovation initiatives and support the development and financial goals of many more artists around the world”.
It added: “Focusing heavily on acquisitions in Reggaetón, Música Mexicana, Afrobeats, K-pop and country genres, the company deploys a well diversified and global strategy, proving them as tastemakers in the ever evolving music landscape.”
Alongside Cinq, GoDigital owns the likes of Latido Music (a 24-hour linear music channel focusing on US Hispanic audiences), plus mitú (described by Peterson as a “Buzzfeed for Latinx audiences in the US”), which offers entertainment, news and music programming through a video-led platform.
In August 2022, GoDigital teamed up with MEP Capital to acquire US-based NGL Collective, described as a “New Generation Latinx digital-first media and entertainment company”. As part of the acquisition, NGL Collective merged with GoDigital’s mitú, which it acquired in Q1 2020, to create NGLmitu.
Music finance company Sound Royalties, which GoDigital acquired in 2021 in a “high eight-figure” deal, will remain a separate entity under the wider GoDigital umbrella and will not be part of the company’s new music division.Music Business Worldwide
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‘ Some details of this article were extracted from the following source www.musicbusinessworldwide.com ’
