Rumors have been flying across the music enterprise for a number of months now concerning the sale of a catalog by Allen Kovac‘s Higher Noise Music (BNM) label.
Right now (Might 10), MBW can clear up what’s actually been occurring, by way of affirmation from Higher Noise Music CEO Dan Waite and President Steve Kline.
MBW has confirmed that Allen Kovac offered 50% of the rock label’s 20-year-old catalog to Raven Capital in 2022.
Sources near the deal inform MBW that the acquisition was priced “within the area of $100 million”.
Kovac was suggested within the transaction by Tim Mandelbaum and the legislation agency of Fox Rothschild and by RBC Financial institution, Royal Financial institution of Canada.
The sale of 50% of the BNM catalog included titles from Awolnation, Papa Roach, Escape The Destiny, Buck Cherry, The Hu, Dangerous Wolves, Soiled Heads, Drowning Pool, Hellyeah, Nico Vega, Chilly, Attica Riots, amongst different deeper catalog albums from BNM’s historical past.
The offered catalog albums are actually administered by Endurance Music Group, which is owned by Raven and headquartered in Nashville.
The Raven deal was solely separate from the Kovac-managed sale of Mötley Crüe’s grasp recordings to BMG in 2021, which was in the identical ballpark price-wise. (BMG referred to as the deal on the time its “largest single catalog acquisition”, suggesting it was someplace across the USD $90 million mark.)
What occurs now to the windfall from Kovac’s take care of Raven Capital?
In keeping with Waite and Kline, a big proportion of this cash has been – and is being – re-invested into Higher Noise to construct the label’s international footprint within the fashionable period.
Dan Waite, CEO of BNM, stated: “The sale of half of the Higher Noise Music catalog in 2022 implies that a lot of our ambitions for acquisition and growth are actually doable.
“A lot of our ambitions for acquisition and growth are actually doable… We’ve got the deep pockets to spend on international advertising and marketing and promotion – in each USA plus Worldwide – that giant acts count on.”
Dan Waite, Higher Noise
“As Arduous Rock and Various offers are ending at different labels, Higher Noise Music is changing into the pure house for these acts that need ‘main label’ outcomes with indie label sensibilities and a focus to element.
“We’ve got the deep pockets to spend on international advertising and marketing and promotion – in each USA plus Worldwide – that giant acts count on.”
BNM CFO, Harris Masood, added: “The sale offers the funds to synergistically develop BNM international workers, purchase different labels and catalogs. In the meantime, it permits BNM to maintain all frontline artists, and the energetic frontline albums from our present artists, plus our current catalog titles, so 50% of the catalog stays in-house, a quantity that’s rising annually with new releases”.
Allen Kovac moved from CEO to Chairman of New York-headquartered BNM final 12 months; Dan Waite was promoted to the Chief Exec place, whereas Steve Kline was named President, including the position to his tasks as COO.
In the meantime, BNM continues to chalk up US chart success within the exhausting rock and different house.
The label at the moment has 3 of the Prime 15 tracks (and a pair of of the Prime 10) within the Energetic Rock Mediabase radio chart: If It Doesn’t Damage by Nothing Extra (No.3), This Is The Method by 5 Finger Loss of life Punch feat. DMX (No.6), plus Barely Respiration by From Ashes To New (No.11).
(As of the week ending April 22, BNM had 4 of the Prime 15 on this chart, together with Darkish Void by Asking Alexandria.)
Moreover, BNM says it had the longest period of any observe at No.1 on the Mediabase Various Radio Chart in 2023 with Rescue Me by Soiled Heads, whereas This Is The Method (by FFDP and DMX) just lately hit No.1 on Billboard‘s Arduous Rock Digital Track Gross sales chart.
Steve Kline, President/COO of BNM, stated: “Higher Noise Music has been the #1 Billboard Arduous Rock imprint year-on-year, and the #1 Energetic Rock Radio label for five of the final 6 years.
“Higher Noise Music has been the #1 Billboard Arduous Rock imprint year-on-year, and the #1 Energetic Rock Radio label for five of the final 6 years.”
Steve Kline, Higher Noise
“We’re creating The Funeral Portrait and can break them like we did with Nothing Extra, Dangerous Wolves and From Ashes to New, and we proceed to develop established acts like Asking Alexandria, giving them their first two #1 hits of their lengthy profession.
“We’ve got extra new signings we’re enthusiastic about to announce later in 2024”
Kline is on the advisory board to US-based indie label org A2IM, whereas Waite is on the Administration Board of EU-based indie label org IMPALA – every retaining BNM near digital improvements throughout the worldwide enterprise.Music Enterprise Worldwide
