Virgin Music Group, Universal Music Group’s global indie division, announced yesterday that it has entered into an agreement to acquire Downtown Music Holdings for $775 million (approximately €737 million).
The deal, subject to regulatory approvals, is expected to close in the second half of 2025. This acquisition will combine the strengths of both companies to provide enhanced services to the independent music community.
‘Virgin Music Group‘ will integrate Downtown’s technology and services with its existing platform. Together, they will support artists, songwriters, and music businesses worldwide with tools for creation, distribution, publishing, marketing, royalties, and financial services.
JT Myers, Co-CEO of Virgin Music Group, said: “Downtown Music has become one of the most respected and diversified operations in the world. This partnership will build on their success and expand the tools and services available to independent artists and entrepreneurs.”
Downtown’s founder, Justin Kalifowitz, added: “Downtown was created to empower artists and businesses at every level. Partnering with Virgin Music will strengthen our ability to deliver on that mission.”
Founded in 2007, Downtown Music Holdings operates across 20 offices on six continents, serving 5,000+ business clients and over 4 million creators in 145 countries. Its brands include FUGA, CD Baby, Curve Royalties, Songtrust, and Downtown Music Publishing. Downtown’s clients recently earned nearly 150 nominations for the upcoming 2025 GRAMMY Awards.
The combined companies will offer expanded services, including digital and physical distribution, release marketing, synchronization, neighboring rights, and rights management. Both companies will continue to operate independently until the deal is finalized.
This acquisition marks a significant investment in the independent music ecosystem, positioning Virgin Music Group and Downtown to better serve creators, businesses, and rights holders worldwide.