Primary Wave Music has confirmed that it is acquiring Kobalt. It follows reports of a deal last month.
The definitive agreement on the transaction includes an investment from Brookfield, a strategic partner to Primary Wave. The combined operation of two independent music giants would be valued at more than $7 billion.
“This deal creates a scaled, independent alternative to traditional publishing models, highlighting Kobalt’s best-in-class royalty platform, Amra’s global digital collection vehicle, and Primary Wave’s proven ability to grow the value of legendary music IP through creative marketing and other initiatives,” said a statement.
The agreement will see Kobalt, under the continued leadership of Laurent Hubert and its current management team, remain a separate, standalone entity. It will operate as a tech-driven publishing administrator and creative partner for the industry.
The deal encompasses Kobalt’s worldwide operations, its catalogue of owned copyrights, and digital collection operation Amra. The transaction is subject to closing conditions and is expected to close in Q3 2026.
“Over the many years Laurent and I have known each other I have always been impressed by the remarkable team he has built, as well as the extraordinary growth Kobalt has experienced under his leadership,” said Larry Mestel, CEO & founder, Primary Wave Music. “This acquisition will only enhance his efforts to provide creators individualised attention and specialised support at every stage of their journey and to provide a very significant amount of capital to Kobalt for continued growth.”
Laurent Hubert, CEO of Kobalt, said: “Primary Wave understands our vision of independence and the importance of our ‘creator first’ mindset driven by service, technology, and creativity. We are incredibly excited about our next chapter with them as our partner. Larry and the Primary Wave team are true champions of the music community, and their support underscores the value of the independent ecosystem we are all building.
“Our clients can remain confident that our mission and leadership remain entirely focused on their success. We thank our founder Willard Ahdritz, Francisco Partners and Matt Pincus for their incredible partnership over the last few years, which has positioned us perfectly for this next chapter.”
Primary Wave is the right home for Kobalt’s next chapter Willard Ahdritz
Willard Ahdritz
“Our partnership with Kobalt has been defined by a shared commitment to innovation and the success of the independent creator,” said Mario Razzini, partner at Francisco Partners. “Over the last few years, we have worked closely with Laurent and the team to scale Kobalt’s industry-leading technology and expand its global footprint. We are proud of what we have achieved together and believe Primary Wave is the ideal partner to support Kobalt’s continued evolution as a transformative force in the music industry.”
Upon the close of the deal, Kobalt founder Willard Ahdritz will step down from his role as chairman of the board.
Willard Ahdritz said: “Twenty-five years ago, I founded Kobalt with a clear vision: creators deserved better, and the digital music industry needed the technology, scale, and transparency of a modern tech company. We succeeded, empowering songwriters and creators to retain their rights, and helping establish music royalties as a recognized asset class along the way.”
He added: “First as Group CEO for 20 years and then as chairman for five – I have had the privilege of working alongside extraordinary people across two generations of leadership and more than 900 colleagues, all united by our mission. I am deeply proud of what we built together and thank Laurent, Jeannette Perez, Tomas Ericsson and Catrin Drabble, and the rest of our outstanding team for their leadership and dedication. Primary Wave is the right home for Kobalt’s next chapter, and I step down as chairman feeling confident about the future of the business, its people, and its mission.”
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