The acquisition was price around $750 million and Francisco Partners acquired 90% of Kobalt. The remaining 10% will be split between Matt Pincus’s MUSIC, plus Dundee Partners and also Willard Ahdritz (founder of Kobalt). (Pincus will join the Board of Kobalt post the deal closing.)
Kobalt has always been the poster child of the independent music industry for music publishing rights. It’s a huge shame to see them sell to private equity instead of trying to push on further and remain an independent firm.
Over time it will be interesting to see if Francisco Partners decides to hold on to Kobalt or look to further offload the assets as they appreciate in value.
Either way… Kobalt has had amazing success over the years and its great to see them in a position where they could potentially grow even further.
p.s. Im very bullish on AMRA