In merging the activities of its music company BMG with those of the American Concord, the group creates the number 4 behind Universal, Sony, and Warner.
A new company in the music industry. Media giant Bertelsmann will merge its music activities with those of the American Concord to create a global leader in independent music. The two groups have agreed to merge the music companies BMG, owned by Bertelsmann, and Concord, whose shareholder is the American fund Great Mountain Partners. This new company will keep the name BMG, its global headquarters will be located in Nashville, USA, where Concord is based, and its European headquarters in Berlin.
“After this transaction, which includes a cash and stock contribution, Bertelsmann will hold 67% of the new entity’s capital,” detailed the press release. Concord shareholders will acquire 33% of the shares held by Great Mountain Partners. The valuation of the new entity will rise to 12.4 billion euros, according to information from the Handelsblatt economic daily.
From Daft Punk to Tina Turner
“This operation is one of the most important in Bertelsmann’s over 190-year history,” said the chairman of its management board, Thomas Rabe, quoted in the press release. According to him, the transaction should allow Bertelsmann to expand its presence in the United States, which already accounted for 28% of its revenue in 2025.
According to BMG’s general manager Thomas Coesfeld, who will take the helm of Bertelsmann in January 2027, the new entity will have a uniquely diverse repertoire, with over four million titles. Bob Valentine, general manager of Concord, will become the chairman of the management board.
BMG’s catalog, established in 2008, represents more than 3 million recordings, including artists like Jean-Michel Jarre, Tina Turner, Jelly Roll, and Paul Simon. Concord represents 125,000 artists with a catalog of 1.3 million songs and recordings. The company is expected to generate an annual pro forma revenue of $2.2 billion (1.88 billion euros) in 2026. The completion of the operation, which still needs to be approved by competition authorities, is scheduled for the fourth quarter of 2026. Thomas Rabe stated that job cuts were inevitable, but did not provide any numbers.
