Universal Music Group has entered into a deal to buy majority control of the world’s second largest music catalogue. ThailandOne of the fastest growing music markets in Asia.
It buys 70% of the music catalog. RS Groupan exchange-traded music distributor and artist management group.
In the regulatory filing, RS group said that UMG paid $45 million (1.61 billion THB) for the stock, and earnings payments could increase that by a further $44.9 million (174 million THB). The deal is expected to be completed in the third quarter of the year.
The music catalog will then form the core of the new partnership between UMG and RS Group, with UMG becoming RS Group’s exclusive music service partner for new releases and new music repertoire worldwide. UMG will also receive exclusive pre-rejection rights and matching rights to acquire new releases and repertoire. UMG will be the second largest player in the Thai music market.
Thailand’s recorded music industry revenue increased by 20% in 2022 to exceed $100 million for the first time, according to IFPI’s Global Music Report 2022.
The RS catalog contains more than 10,000 master records and 6,000 copyrights, publishing rights and licenses from 1981-2022 and represents the work of more than 960 artists. Notable Thai artists featured in the catalog are: Dan-Beam (pop duo), James Ruangsak Loychusak (pop), Parn Thanaporn Wagprayoon (ballard diva), Stone Metal Fire (90s rock band), Ble Patumrach (country), Lydia Sarunrat Deane (R&B queen), Thanapol Intharit (rock) and Four-Mod Kamikaze (pop).
“I am extremely excited by the expanded role this partnership will enable UMG to play in such a fast-growing and important music market. “It has huge unexplored potential with consumers,” he said.[The] The announcement will give UMG the scale it needs to make a meaningful impact in the Thai music ecosystem and capitalize on its continued growth.”
“We are delighted to partner with UMG as a way to expand the opportunities of Thai music in the international market. Surachai Chetchotisak, CEO of RS Public Company Limited, will play an important role in boosting Thailand’s soft power and will set the first stepping stone for future projects and businesses.”