BMG to Acquire Assets of R2M Music

Berlin, Germany

The transaction adds 12,000 copyrights including 35 Top 10 hits and the catalogue of German rock icons Die Toten Hosen to BMG’s music publishing assets.

BERLIN, March 1, 2012 – BMG Rights Management (BMG) announced today the completion of a transaction whereby BMG acquired the assets of R2M Music (Lux) S.a.r.l (“R2M”). The transaction adds 12,000 copyrights including 35 Top 10 hits and many top songs from the 60’s, 70’s, 80’s, and 90’s to BMG’s music publishing assets.

R2M was founded by former Sony/ATV Music Publishing executives Paul Russell, Richard Rowe and Phil May in 2006. The assets sold by R2M pursuant to the transaction include the LeFrak catalogue, home to seven Number One pop hits by the likes of 2Pac “California Love”, Neil Sedaka “Laughter in the Rain”, Captain and Tennille “Love Will Keep Us Together”, Jim Croce “Time in a Bottle”, and Tony Orlando and Dawn “Knock Three Times”. LeFrak’s collection of master rights includes Jim Croce’s greatest hits. With the acquisition, BMG also takes over the catalogue of one of Germany’s most renowned rock bands, Die Toten Hosen, representing the majority of the songs on the six albums the band has recorded since 1996, five of them Number Ones in Germany. The R2M assets acquired by BMG as part of the transaction also include the music publishing assets of former Transcontinent Musikverlag GmbH, including rights to an extensive German Schlager music catalogue.

BMG CEO Hartwig Masuch said, “R2M had assembled a high quality catalogue of outstanding copyrights and we are delighted to be able to extend our services to their writers. We are confident we will do a great job for them.”

The financial terms of the transaction were not disclosed.

Waller Capital Partners acted as exclusive Financial Advisor to R2M Music.