“This new, somewhat unconventional, strategic agreement with UMG will help both companies maximise the many opportunities we know are available, while not compromising our independence whatsoever,” is how independent music company PIAS’s co-founder Kenny Gates described its strategic global alliance with Universal Music Group in June 2021.
Fast forward to November 2022, and the relationship has moved on a step, with UMG announcing this morning that it has acquired a 49% stake in PIAS.
Independence is still being stressed, with Gates and fellow co-founder Michel Lambot retaining majority control of PIAS, and no UMG executives sitting on its board. Gates said the deepening partnership is partly out of necessity.
“These days we are competing with finance and tech giants and a partner like Universal Music Group provides the additional support for us to compete and grow,” he said in a statement. “Universal made it clear that they like us, they trust us and they need us, because they can’t do what we do and they value it highly.”
