Following the acquisition of John Jackson’s UK-based K2 Agency by The Yucaipa Companies (TYC), which also owns US operation Artist Group International (AGI, see 18 August news), AGI head Dennis Arfa reveals how the Coronavirus pandemic delayed the deal by several months.
The two companies will remain independent under the TYC umbrella, but will work together to expand their businesses.
“We were supposed to conclude the agreement before the virus and would have had an announcement in March,” Arfa tells Audience. “But we had to take stock and review with our owner [TYC’s Ron Burkle].
“In the end, we decided to move forward with the deal,” he says. “We’re proud that we are growing in difficult times where most live music businesses are cutting jobs.”
Areas where the agencies could work together include attracting new agents to the business or in developing festivals, and he anticipates a different live music landscape with slimmed down businesses and events.
The agencies have worked together on artistes including Metallica and Volbeat, while other K2 clients include Iron Maiden and Guns N’Roses, and AGI’s roster features Rod Stewart, Billy Joel, Linkin Park and Mötley Crüe.
Arfa declined to reveal how much TYC paid for K2 but described it as a substantial amount.