Virgin Music Group has completed its acquisition of Downtown Music Holdings, following regulatory approval.
In a statement, the UMG company said the deal (valued at $775 million) marks a “significant milestone in the creation of a global, end-to-end solution that meets the evolving needs of independent entrepreneurs, artists, and rights-holders”.
At the same time, Pieter van Rijn was appointed chief operating officer, having been CEO of Downtown since last year. He will report to co-CEOs Nat Pastor and JT Myers and will continue to be based in Amsterdam.
Downtown founder Justin Kalifowitz confirmed he is stepping away from the company he founded in 2007, sharing a founder’s letter on Downtown’s website.
Andrew Bergman, previously chairman of Downtown, will transition into a senior advisory role.
“Andrew and I step away proud of what we’ve built together and confident in the leadership and culture that define Downtown today,” said Kalifowitz. “We congratulate our good friend Pieter on his new role and wish Nat, JT, and the broader Virgin team nothing but the best as they carry the business forward into its next chapter.”
This is about making both Virgin Music Group and Downtown even better – preserving their distinct strengths while increasing the investment, technology and global resources available to independent
Nat Pastor
Initially established in 2007, Downtown collectively serves over 5,000 business clients and more than four million creators in 145 countries. The company has core divisions across Artist & Label Services, Distribution, and Music Publishing. The portfolio of businesses includes Fuga, Downtown Artist & Label Services, CD Baby, Downtown Music Publishing and Songtrust.
As COO of Virgin Music Group, Van Rijn will oversee global operations, tech, product and strategic integration across the combined businesses. As well as ensuring continuity for Downtown’s clients, teams and brands, he will work to secure new opportunities for growth and collaboration.
Nat Pastor said: “Pieter’s appointment signals our intent to bring these businesses together thoughtfully and strategically. This is about making both Virgin Music Group and Downtown even better – preserving their distinct strengths while increasing the investment, technology and global resources available to independent entrepreneurs. Pieter’s experience and leadership make him the right person to help guide us forward.”
Today recognises the extraordinary company the Downtown team has built
JT Myers
Pieter van Rijn said: “This combination enhances the choice, service and global reach available to the independent community. I’m grateful to Justin and Andrew for their vision in building Downtown, and to Nat and JT for their trust as we enter this next chapter. Our focus is clear: strengthen what makes both companies special and deliver even greater value to the entrepreneurs we serve.”
JT Myers said: “Today recognises the extraordinary company the Downtown team has built. Justin’s pioneering spirit – and the leadership of Andrew, Pieter and colleagues worldwide — created an organisation defined by its powerful belief in independent creators. We deeply respect what this team has built and are committed to backing it, protecting what makes Downtown successful, and expanding opportunities for the global independent community.”
Andrew Bergman said: “I’m extremely proud of the culture we created, grounded in trust, long-term partnership and the constant pursuit of excellence. Pieter van Rijn epitomizes that culture and watching my friend grow into such an exceptional leader has been extremely gratifying. Justin and I look forward to cheering on Nat, JT, Pieter and the combined teams as they continue to create new opportunities for the global music community.”
PHOTO: (L-R) JT Myers, Pieter van Rijn, Nat Pastor. Photo by Damon Casarez.
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