In today's CMU Daily: Universal Music UK has announced a significant restructure, reorganising most of its frontline labels into two big groups. If that sounds familiar, that’s because the same thing happened at the major’s US business. There will also be a new central division focused on media, marketing and data. The changes will result in job losses, though we don’t yet know how many 

One Liners: IMRO ICE deal; Believe’s Global Records stake; Primary Wave acquires Keith Forsey rights; FKP Scorpio and BMI appointments; Warner Music Balkans launch; BPI Grow Music programme; FORWARDS partners with Channel 4; Festivals For Ukraine toolkit; New music from Felix Jaehn, Confidence Man, Jon Hopkins

Also today: Music and video services launch legal action against Canada’s streaming levy; Blackstone’s deal to buy Hipgnosis Songs Fund approved by shareholders

Plus: Mya Mehmi is CMU Approved

Universal Music UK announces restructure, creating two big label groups

Universal Music UK is planning a significant restructure, following the lead of the major’s US business and re-organising all of its frontline labels into two big groups. Sort of. Classical and jazz label Decca will remain its own thing. And a new Audience & Media division is also being created. Job losses are expected, though the exact number of redundancies is not yet clear. 

David Joseph, Universal’s UK boss, outlined the changes in a memo to staff, citing the  “dynamic and constantly changing” nature of the music industry as the driving force behind the restructure. “Developing artists now require more creativity and patience than ever before”, he said, emphasising the need for the company to be “forward-looking, innovative and bold”. 

Setting out the changes, which will go into effect in October, he continued, “As our industry continues to evolve, we have been looking at ways to strengthen our labels’ capabilities to deepen artist and fan connections”. 

Referencing the recent restructuring that took place across Universal’s US operations, he said that staff would recognise the changes in the UK reflected “some of the changes happening globally across UMG, most notably in the US with Republic Corps and Interscope Capitol Labels Group”. 

The two big frontline label groups in the UK will be known as the Island EMI Label Group and the Polydor Group. The new Island EMI division will merge the currently separate Island and EMI labels, and will be led by current Island President Louis Bloom. The Polydor Group will be headed up by current Polydor boss Ben Mortimer, and will also include the 0207 Def Jam label and a “reimagined” Capitol Records.

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Horizon is CMU's new weekly newsletter - published each Friday - that brings you a hand-picked selection of early-stage career opportunities from across the music industry.

Whether you're looking for your first job in music or you're ready to take a step up, Horizon is here to help you find your dream job faster.

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ONE LINERS

IMRO, Believe, Primary Wave, BMI, Warner Music + more

DEALS 

Irish song rights collecting society IMRO has extended its agreement with digital licensing hub ICE for a new multi-year period. The two organisations say that the new deal aims to facilitate faster royalty payments and enhance usage transparency for IMRO’s members. The society is currently transitioning to monthly online distributions. Victor Finn, IMRO’s CEO, states, “International collaboration is key to maximising revenues for rightsholders whilst minimising costs without duplicating resources in individual markets. This extension is a testament to the strong relationship we have built over the years and our joint commitment to ensuring the highest compensation for our members for the online use of their music”.

Believe has acquired a 25% stake in independent dance label Global Records, expanding an existing partnership that began in 2016. Global Records, with offices in Romania, Germany and the US, reported over 6 billion streams across all platforms in 2023 and over 20 billion streams for its global catalogue to date. Denis Ladegaillerie, CEO of Believe, says, “I am convinced that together we will build a global leader in dance music, one of the few truly digital and international music genres today”. 

Primary Wave Music has announced a deal with Keith Forsey, acquiring his writer and producer share income streams on works like ‘What A Feeling’, ‘Don't You (Forget About Me)’, ‘Hot Stuff’, ‘White Wedding’ and ‘Rebel Yell’. The deal also covers songs Forsey wrote for films such as ‘Flashdance’, ‘The Breakfast Club’ and ‘Ghostbusters’. Forsey says, “It gives me a good feeling to work with a company like Primary Wave, where I know they will respect and take care of the music that I had the good fortune to be able to create with many talented people throughout my career”.

APPOINTMENTS

Live music company FKP Scorpio has appointed Freddie de Wall as its third CEO, joining founder Folkert Koopmans and Stephan Thanscheidt in the role. De Wall, previously COO, will focus on driving the company’s international business. On his appointment, de Wall says, “I am delighted to be able to open another chapter in my role at FKP Scorpio with this new responsibility”. Koopmans adds that de Wall’s “international management experience and excellent network will undoubtedly benefit him as CEO in order to continue to grow our future business”. 

US collecting society BMI has appointed Tom Kershaw as Chief Technology Officer and Justin Rohde as Chief Transformation Officer. Kershaw will lead the organisation’s technological advancements. Rohde, in a newly created role, will focus on improving processes and finding new revenue sources. CEO Mike O'Neill states that these appointments will help BMI grow distributions, advance technology and enhance service to members. Both executives will report directly to O'Neill as part of BMI's strategic growth plan.

RECORD LABELS 

Warner Music South East Europe has launched Warner Music Balkans, a joint venture between the major and three labels it previously invested in, Dancing Bear in Croatia, Mascom in Serbia and NIKA in Slovenia. The new venture will focus on signing and developing artists from Croatia, Serbia, Slovenia and other West Balkan countries, connecting them to Warner's global network. Izabela Ciszek-Podziemska, General Manager of WM SEE, will oversee the label. She says, “Bringing our JVs and investments under one label will benefit everyone involved and enable our artists to get the very best from Warner Music's global network”. 

UK record industry trade group the BPI has launched Grow Music, described as “a scale-up and growth programme for new technologies, innovations and ideas to support the music industry”. It is being delivered in partnership with London & Partners. BPI's Chief Strategy Officer Sophie Jones says, "BPI's vision is for the UK music industry to be a central hub for testing ideas, meeting industry partners and securing investment, and the launch of Grow Music brings us closer to that goal”. The programme includes a twelve week business support course for 25 London-based SMEs and a five-week Angel Investing School. Applications open in July 2024, with the programme launching at Abbey Road Studios in September.

INDUSTRY EVENTS

The University Of Westminster's Black Music Research Unit, hosts its inaugural symposium, ‘Black British Music: Past, Present and Futures’, at the British Library this week, on 12 Jul. PRS Members’ Council President Michelle Escoffery will deliver the keynote address, appearing alongside a number of academics, DJs, musicians and writers who will be discussing various aspects of black British music. Dr Mykaell Riley, BMRU director, says the symposium “will distinctively highlight early-career female researchers with a focus on black British music”. The event accompanies the ‘Beyond The Bassline’ exhibition, which documents 500 years of black British music history. Tickets include access to the symposium, the exhibition and an evening Carnival Warm Up party. 

LIVE

Bristol’s FORWARDS Festival has partnered with Channel 4 for its talks programme, which is called THE INFORMATION and will feature speakers like Brian Eno, Mikaela Loach and Bashy. The programme will address topics including gender roles, race and the climate crisis, and youth exploitation. FORWARDS aims to "harness the legacy and power of live events for positive change", and its music lineup for this year includes Loyle Carner and LCD Soundsystem. It takes place on 31 Aug and 1 Sep. 

YOUROPE and Music Saves Ukraine have released Festivals For Ukraine, a free toolkit for festival organisers providing advice on raising funds and awareness for charitable causes. Developed through YOUROPE's Future-Fit Festivals project, it offers step-by-step guides and case studies on implementing fundraising activities at events. The toolkit is based on experiences supporting Ukraine but adaptable for other causes too, and is available online and as a PDF for any cultural event to use.

RELEASES

Felix Jaehn has collaborated with Sophie Ellis-Bextor on new single ‘Ready For Your Love’.

Confidence Man have collaborated with IN2STELLAR on new single ‘BREAK IT DOWN (ON THE BASSLINE)’. It comes from their upcoming Fabric mix series ‘fabric Presents Confidence Man’ out 23 Aug.

Jon Hopkins has released his new single ‘RITUAL (palace)’. His new album ‘RITUAL’ is out 30 Aug.

Streaming giants sue to block Canada's 5% revenue levy

Spotify, Apple and Amazon have launched legal challenges against Canada’s new 5% streaming levy through the country’s Federal Court Of Appeal. The Motion Picture Association Canada has also begun legal proceedings on behalf of its streaming service members, including Disney+, Paramount+ and Netflix.

The levy, introduced by the Canadian Radio-Television And Telecommunications Commission, or CRTC, requires digital services to contribute 5% of their revenues to support Canadian music and content creation. The music industry has welcomed the measure, but the streaming services oppose it

Graham Davies, CEO of the Digital Media Association, speaking for the music services as they filed their legal action, criticised the CRTC's approach as “backward-looking” and “unsustainable”. He warned that it “risks raising costs for Canadians” and urged the CRTC and the Canadian government to reconsider the plan which, he says, “fails to acknowledge streaming’s existing contributions to music production”.

None of this is surprising, given we know the streaming platforms are generally against any bespoke levies or taxes. France has already introduced a 1.2% levy on music services and that was widely criticised by the platforms, with Spotify threatening to “disinvest” from the French market in protest. It subsequently just added the 1.2% uplift to a monthly subscription price. Obviously passing on Canada’s 5% levy to consumers would be more noticeable. 

Approved: Mya Mehmi

The multi-faceted Mya Mehmi, a London-based Punjabi trans artist, DJ and community builder, possesses a hypnotic sound. As co-producer of the cult club night and collective Pxssy Palace, Mehmi is a vital presence in London’s queer scene and is well-acquainted with music that gets bodies moving.

In her latest release ‘Pain 4 U’, Mehmi's rich, sultry vocals saunter over 2000s hip hop beats, unravelling the complexities of a past toxic relationship. Her confessional songwriting is complemented by a self-directed ‘Drop It Like It’s Hot’-inspired video that explores themes of pressured hypersexuality and heteronormative ideals in her own previous relationship while mirroring the track’s nostalgic influences.

Speaking on the track’s visuals, Mehmi said, “I wanted to represent the various different forms I took on in this relationship, such as the damsel, the wifey, the private dancer, the sexual object; all whilst nodding to my ex’s slightly ominous and dangerous persona via his styling and demeanour throughout the video. And as always, I had to include symbolism and imagery that celebrated my Punjabi heritage”.

As both a sonic and visual artist, Mya Mehmi is undeniably one to watch, offering a profound and, unfortunately, still rare narrative in the music scene.

🎧 Watch the video for ‘Pain 4 U’ here

The votes are counted, and the Hipgnosis deal is done… there’s just one more thing

It seems like only yesterday that Hipgnosis Songs Fund, or SONG, announced that it was going to sell a stack of music rights from one Hipgnosis fund to another in an effort to boost its flagging share price. Shares had been languishing somewhere around 80p, a far cry from the heady days of November 2021 when - during peak music rights investment fever - the share price tipped over 129p. 

Little did we know back then, in September 2023, that this was the first move in a battle that would see months of high-stakes drama. 

That all culminated in a meeting yesterday, where shareholders would approve Blackstone's bid to acquire SONG. Legal documents filed by Lyra BidCo - Blackstone’s acquisition vehicle - showed that meeting scheduled to take place at 10am yesterday, at the Bow Churchyard offices of august city lawfirm Shoosmiths, with a regulatory news service announcement of the results to be published later in the day. 

That meeting happened, and then… tumbleweed. No regulatory news service announcement, no comment from any of the various PR firms. Just silence. 

The markets closed - still no announcement. “Expect something shortly” said one spokesperson. Still nothing. “We’ll call you back shortly”, said another, “we just need to confirm something”. Still no announcement.

No update as the markets opened this morning and then, finally, nearly 24 hours after the vote took place, the announcement was published, and the vote had gone through, with 99.97% of the shareholders who voted approving the deal.

“Overwhelmingly passed” said the press release, skipping over the fact that only 59.21% of the total shares had voted one way or the other.

Why the delay? No one associated with the various parties involved in the transaction was willing to comment, but one city insider hinted that there may have been an “issue of clarity” at the meeting.

Why the low turnout, when so many hedge funds were so engaged in ensuring that the vote went through and their arbitrage trades paid off? Again, no one was able to confirm, with one spokesperson simply saying that the turnout was “not unusual”. 

Could the issue that caused the late regulatory announcement be related to a seemingly low turnout? Will the court now approve the scheme of arrangement and allow the deal to close? If it was any other company, the answer would almost certainly be “yes”. But as one city source told CMU this morning, “with Hipgnosis, almost anything is possible”.