M&A Deal Summary

Access Industries Acquires Warner Music Group

On May 6, 2011, Access Industries acquired media company Warner Music Group from Bain Capital Private Equity, Providence Equity Partners and Thomas H. Lee Partners for 3.3B USD

Acquisition Highlights
  • This is Access Industries’ 2nd transaction in the Media sector.
  • This is Access Industries’ 2nd largest (disclosed) transaction.
  • This is Access Industries’ 3rd transaction in the United States.
  • This is Access Industries’ 1st transaction in New York.
Investment Fate
  • Warner Music Group went public in 2020.

M&A Deal Summary

Date 2011-05-06
Target Warner Music Group
Sector Media
Buyer(s) Access Industries
Sellers(s) Bain Capital Private Equity
Providence Equity Partners
Thomas H. Lee Partners
Deal Type Add-on Acquisition
Deal Value 3.3B USD
Advisor(s) Paul, Weiss, Rifkind, Wharton & Garrison (Legal)

Target

Warner Music Group

New York, New York, United States
Warner Music Group is home to a collection of the best-known record labels in the music industry, including Asylum, Atlantic, East West, Elektra, Fueled By Ramen, Nonesuch, Reprise, Rhino, Roadrunner, Rykodisc, Sire, Warner Bros., and Word, as well as Warner/Chappell Music. WMG comprises an array of businesses aimed at helping artists achieve long-term creative and financial success while providing consumers with the highest-quality music content available. WMG is engaged in the recorded music business (including artist services) and the music publishing business, and is a leading company in national and international repertoire that operates through numerous international affiliates and licensees in more than 50 countries. Warner Music Group was formed in 1929 and is headquartered in New York, New York.

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Buyer(S) 1

Buyer

Access Industries

New York, New York, United States

Category Company
Founded 1986
Sector Diversified
DESCRIPTION

Access Industries, Inc. is a US based holding company focused on long-term investments worldwide. This includes companies located in the US, Europe, and South America. The Firm targets companies operating in the fields of natural resources, chemicals, telecommunications, media, real estate, emerging technology, and retail. Access Industries, Inc. was formed in 1986 and is based in New York City.


DEAL STATS #
Overall 8 of 19
Sector: Media M&A 2 of 4
Type: Add-on Acquisition M&A Deals 1 of 2
State: New York M&A 1 of 2
Country: United States M&A 3 of 7
Year: 2011 M&A 1 of 1
Size (of disclosed) 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-04-30 LyondellBasell

Houston, Texas, United States

LyondellBasell is a plastics, chemicals and refining company that produces materials and products that are key to advancing solutions to modern challenges like enhancing food safety through lightweight and flexible packaging, protecting the purity of water supplies through stronger and more versatile pipes, and improving the safety, comfort and fuel efficiency of many of the cars and trucks on the road. LyondellBasell was founded in 2007 and is based in Houston, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2012-01-04 Icon UK

London, United Kingdom

Icon Group is a film and entertainment business led by Mel Gibson and Bruce Davey. The transaction comprises the international sales company, the distribution operation based in the United Kingdom and the Majestic Films and Television library.

Buy -

Seller(S) 3

SELLER

Bain Capital Private Equity

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1984
PE ASSETS 44.2B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Bain Capital Private Equity (BCPE), is the private equity investment arm of alternative asset management firm, Bain Capital. BCPE targets leveraged buyout and growth capital transactions in a wide variety of industries including information technology, communications, media, healthcare, industrial/manufacturing, retail/consumer, and financial services. Bain Capital is based in Boston with additional offices in New York, London, Mumbai, Hong Kong, Shanghai, Tokyo, and Munich.


DEAL STATS #
Overall 37 of 152
Sector: Media M&A 4 of 8
Type: Add-on Acquisition M&A Deals 9 of 41
State: New York M&A 2 of 3
Country: United States M&A 27 of 87
Year: 2011 M&A 4 of 6
Size (of disclosed) 9 of 45
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-03-30 Keystone Automotive Operations

Exeter, Pennsylvania, United States

Keystone Automotive Operations, Inc. is a distributor and marketer of specialty aftermarket equipment and accessories. Keystone markets products to serve the following six category segments: truck and off-road; speed and performance; recreational vehicle; towing; wheels, tires and performance handling; and miscellaneous accessories.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-05-20 China Security Co.

Wuhan, China

China Security Co. is an industrial fire safety product manufacturer and solution provider in China. China Security was incorporated in 1987 and is based in Wuhan, China.

Buy -
SELLER

Providence Equity Partners

Providence, Rhode Island, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1989
PE ASSETS 38.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Providence Equity Partners is a specialist private equity firm that targets investments in media, entertainment, communications, and information companies. Specifically, Providence seeks investments in wireless and wireline telephony, cable television content and distribution, music, film, publishing, radio and television broadcasting, and other media and communications sectors. Providence Equity looks to commit $150 million to $800 million of equity capital in transactions ranging from growth financings and recapitalizations, to buyouts and take-privates. Providence Equity Partners was formed in 1989 and has offices in Providence, Rhode Island; New York, New York; Los Angeles, California; London, United Kingdom; Hong Kong, China; and New Delhi, India.


DEAL STATS #
Overall 25 of 102
Sector: Media M&A 9 of 23
Type: Add-on Acquisition M&A Deals 11 of 41
State: New York M&A 3 of 9
Country: United States M&A 15 of 69
Year: 2011 M&A 3 of 8
Size (of disclosed) 8 of 36
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-04-18 UFO Moviez India

Mumbai, India

UFO Moviez India is a digital cinema chain, currently pioneering the use of MPEG-4 technology based Digital Cinema System. This enables the delivery and projection of motion pictures through electronic transmission method, via a satellite. UFO Moviez India was founded in 2004 and is based in Mumbai, Maharashtra.

Buy Rs260M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-05-16 RentPath

Norcross, Georgia, United States

RentPath, Inc. is a primary service is digital marketing for rental properties through a network of Internet listing websites, including Rent.com, ApartmentGuide.com, Rentals.com and Lovely.com. RentPath was founded in 1975 and is based in Norcross, Georgia.

Buy $525M
SELLER

Thomas H. Lee Partners

Boston, Massachusetts, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1974
PE ASSETS 35.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Thomas H. Lee Partners (THL) is a private equity firm that seeks buyout, expansion, consolidation, distressed, and recapitalization investments across various industries. Sectors of interest include business and information services, consumer products/retail, financial services, healthcare, industrial, and media/communications. THL looks to invest $100 to $400 million in companies valued up to $2.5 billion. THL was formed in 1974 and is based in Boston, Massachusetts.


DEAL STATS #
Overall 19 of 54
Sector: Media M&A 2 of 4
Type: Add-on Acquisition M&A Deals 5 of 18
State: New York M&A 3 of 4
Country: United States M&A 14 of 45
Year: 2011 M&A 2 of 4
Size (of disclosed) 6 of 21
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2011-01-25 Nielsen

New York, New York, United States

Nielsen is a global information and measurement company that provides clients with a comprehensive understanding of consumers and consumer behaviour. Nielsen delivers critical media and marketing information, analytics, and industry expertise about what consumers buy and what consumers watch (consumer interaction with television, online and mobile) on a global and local basis. Nielsen was founded in 1923 and is based in New York City.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-05-27 Agencyport Software

Boston, Massachusetts, United States

Agencyport Software lets P&C insurers engage simply and quickly with their product distribution channels and technology partners. Company offer the world's leading web-based distribution technologies and robust business intelligence tools making the complex business of insurance simpler and smarter, increasing efficiency, improving underwriting, and sharpening carriers’ competitive edge.

Buy -