Mavin Records, the Nigerian music label owned by Don Jazzy, is reportedly exploring a sale or investment, with bids from major players like Universal Music Group (UMG) and HYBE.
Sources told Billboard on Friday that the deal’s valuation is estimated between $125 million and $200 million, and that Shot Tower Capital, an independent investment bank, is facilitating the negotiation process.
The news outlet said the move is a way for Mavin Records to raise funds for growth amid expectations that the African music industry will gain global prominence in the coming years.
It added that regardless of how the deal turns out, Don Jazzy is expected to retain control over the company’s future direction.
“Mavin Records, the hot Nigerian label that’s home to Rema and Ayra Starr, is seeking investment or eying a potential full sale with bidding coming from the Universal Music Group, HYBE and strong interest from music asset investors in the financial sector, according to sources,” the report reads.
“Mavin’s valuation in the proposed deal is above $125 million and could be worth $150 million to $200 million, according to those sources. Sources further say that Shot Tower Capital is shopping the deal.
“The move is expected to raise funding to help position the label for more growth. The African continent is anticipated to be the next geographical repertoire to have a commanding presence on the global stage, similar to how Latin and K-pop have had an impact on the international marketplace in recent years.
“Even if the investment comes from a strategic investor like UMG or HYBE — or results in another label or music company taking a stake in Mavin or even buying the African music company outright — the Mavin management team, led by legendary Nigerian music business executive Don Jazzy, is expected to remain in place and retain some form of control over its destiny.”
The news outlet added that the companies mentioned in the report either declined to comment or did not respond to requests for comment by press time.
Don Jazzy is also yet to comment — as of this time of the report.
Established in 2012, Mavin Records is a powerhouse in African music, with prominent names like Rema, Ayra Starr, and Tiwa Savage among others on its roaster.
The label has received numerous accolades, including the MTV Africa Music Award for Best Record Label in 2013 and 2014.
Mavin Records’ artistes have also collaborated with global singers such as Beyoncé, Selena Gomez, Kelly Rowland, and Chris Brown.
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