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PREMIUM > VOLUME 225 > AUGUST 2019
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VIP NEWS >
AUGUST 2019
McGowan’s
Musings
So, how did you manage to get through
resulting in emergency measures in France.
the stage in 2069 I wonder – I’m pretty sure
these summer months without us? A fair
This year’s edition of Glastonbury was one of
I’ll be otherwise engaged!
amount has happened since we were last in
the hottest ever. Then unusually high winds
touch in June, heat waves, high winds, and
had their effect on festivals and other events
But maybe a festival encouraging alien
for us, a new Prime Minister! I can’t quite
and attractions. In the UK large events such as
visitors
express the deep joy and optimism I feel for
Boardmasters and Houghton were cancelled,
‘Alienstock’, an Area 51 themed event has
our European future now that Boris Johnson
and In Winchester, at the Boomtown Fair,
been announced to supposedly take place
is at the helm – no, you’re right I’m not being
dozens of tents were wrecked overnight
close to the town of Rachel, (population 50!)
serious! Anyway what was that? You think
on Friday after 52 mile an hour winds tore
Nevada, close to the US Air Force base, which
I’m just going to use this intro as an excuse
through the campsites.
alienists believe houses alien technology.
to talk about the bloody weather again….
offer
something
different,
Coordinators of the now-defunct “Storm
well, actually yes I am, as it has to say the
I was in Serbia for the EXIT Festival in early
Area 51” are now planning a full-fledged
least been more than erratic; The summer
July, where Ruud Berends myself and others
music festival supposedly to take place next
kicked off in June , as I’m sure many of you
cleverly managed to secure ourselves in
month. However the townsfolk of Rachel are
across Europe were painfully aware, with the
a restaurant as the heavy rain and winds
not happy with the idea of their town, which
searing heat wave which saw temperatures
flattened a couple of the temporary festival
apparently lacks shops, a petrol station, and
reach 45C in some parts of the continent ,
venues on the Petrovaradin fortress, but the
facilities for cashless payments (Oh No!)
EXIT crew pulled out all the stops and the
being taken over and are determined that
event was up and running within a couple of
Alienstock should not go ahead. As far as we
hours. The Cure had walked on stage on the
know, no comments or ticket applications
first night to be greeted by heavy rain, but
have been received from certified aliens.
pretty soon this eased off, and even the often
Watch this space (ship?)
COLOPHON > VIP-News is published by: VIP-Booking.com Enghaven 19 Attrup 8444 Balle Denmark Managing Director: Ronni Didriksen rd@vip-booking.com General Manager: Peter Briggs pb@vip-booking.com Writer and editorial: Allan McGowan am@vip-booking.com Writer: Manfred Tari mt@vip-booking.com For advertising enquiries please contact: Peter Briggs pb@vip-booking.com +46 70 77 60 480 Charlie Presburg cp@vip-booking.com +44 (0) 7980 817496
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may
seemingly not that cheerful Robert Smith, began to smile. Bloody good they were too!
So, that’s enough festival reference, but one last thing that could relate to aliens;
Sticking to the Festival theme, after efforts to
according to a new book on DNA, ‘Pleased
stage a massive event celebrating Woodstock’s
To Meet Me: Genes, Germs And The Curious
50th anniversary failed to materialize, the
Forces That Make Us Who We Are’, Author
15000 capacity Bethel Woods Centre for the
Bill Sullivan maintains that following analysis
Arts in New York’s Catskills region became
of a blood sample from Osbourne, in a bid to
the only show to celebrate this half century
map his genetic code by a research company
memorial to the 1969 event and its musical
called Knome, apparently Ozzy Osbourne is
and cultural importance. The nostalgic event
a genetic mutant whose genes make him
featured Ringo Starr (and band of course!),
more prone to addiction but also more able
The Edgar Winter Band and Blood, Sweat &
to consume large quantities of alcohol. Well,
Tears on the Friday; Santana played Saturday
would any of us have guessed such a thing!?
with the Doobie Brothers; and John Fogerty celebrated Creedence Clearwater Revival
Following that observation of the rock and roll
with Grace Potter and Tedeschi Trucks Band
condition, we at VIP will be preparing to spend
on Sunday. Arlo Guthrie, Winter, Santana
some days in Hamburg at the ever growing
and Fogerty had all performed at the
Reeperbahn event, we shall report from there
original festival. How many acts that played
in the next issue, but in the meantime Ladies
festivals this summer will be around to take
and Gentlemen – The News!
VIP NEWS >
AUGUST 2019
UK Promoter MJR Group sold to TEG From VIP-Daily News Australian entertainment giant TEG is making
business and this acquisition marks a
the last five years and this next step in our
its first push into Europe with its biggest ever
significant step towards TEG becoming a
evolution will further strengthen our position
acquisition of UK-based promoter and venue
global live entertainment powerhouse,” said
in the market.”
operator MJR Group.
Jones in a statement. Both companies are digitally-focused, adds
Based in Bristol, England, and with offices
The MJR Group, he notes, “has strong
Buck, noting “this synergy allows both
in Sydney and Port Macquarie, MJR Group
management talent and a clever live
parties even more leverage by combining
produces more than 2,000 shows each
entertainment model to which TEG can add
each other’s tech expertise and insights to
year, including dates for Sia, 50 Cent,
ticketing, analytics and digital capability…
best connect with live entertainment fans.”
and Hans Zimmer, and has operated and
(and) brings significant additions to our
promoted tours across Dubai, South Africa,
venue portfolio.”
Going forward, The MJR Group’s operations
Japan and China. The
group’s
will be incorporated into TEG’s global
four-strong
collection
of
TEG’s portfolio is already an impressive one
activities, with its U.K. operations to be
which spans ticketing, live entertainment
renamed TEG UK.
venues includes Tramshed in Cardiff and
and
Birmingham’s
Digbeth
Arena
and
technology.
Its
interests
include
The
Ticketek, TEG Live, Qudos Bank Arena,
The MJR Group’s international touring
Mill. MJR also own the popular club brand
Eventopia, and TEG Dainty, Paul Dainty’s
operation MJR Presents is producing this
Propaganda and has stakes in six other
concert and events promotion company
October’s four-date Bring That Beat Back
venues including The Warehouse in Leeds.
which it acquired in 2016.
tour of Australasia, featuring Flavor Flav,
Financial terms of the deal weren’t disclosed.
Following the acquisition, The MJR Group’s
Bobby Brown, Bell Biv Devoe, Montell Jordan and Blu Cantrell.
three partners, Richard Buck (Group CEO and TEG CEO Geoff Jones says MJR is a “great
Head of U.K.), Scott Mesiti (Head of Australia
“We’re really excited to join the TEG family
fit” for TEG, recognised as Asia Pacific’s
& New Zealand) and Dan Ickowitz-Seidler
and looking forward to the next chapter,”
largest diversified entertainment company,
(Head of U.K. Venues and Propaganda), will
enthuses Scott Mesiti, MJR Australia Director.
and the development goes some way
remain with the TEG group.
“We have very similar synergies in our
toward the Australian business realising its global ambitions.
digital approach to the promoting business Buck comments, “We are very excited by
and we’re particularly excited about the
this venture and the enhanced business
infrastructure TEG has at high management
“TEG is already Asia Pacific’s leading
opportunities
level, which will provide MJR with the right
ticketing, live entertainment and technology
worked hard to scale the business over
brought
by
TEG.
We’ve
support for our continual growth.”
[L-R] Head of UK venues and Propaganda Dan Ickowitz-Seidler, TEG chief executive Geoff Jones and MJR chief executive and head of UK Richard Buck
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VIP NEWS >
AUGUST 2019
Coda Becomes Paradigm Following Merge of UK and US Companies Allan McGowan am@vip-booking.com The international booking agency business continues to develop, while
change. Merging with Paradigm enables us to evolve and challenge a
VIP took a short summer break, the ever active UK Company Coda
very dynamic marketplace. With this larger Paradigm platform, we can
announced a full merger with Paradigm, five years after the American
span the globe without losing our personality, ambition, individualism
booking agency took a 50% stake in the London-based company.
and innovative approach”.
Paradigm CEO Sam Gores stated, “ Coda and Paradigm have had
So, from now on, Coda will also be known as Paradigm, though
tremendous success throughout our five-year partnership, creating
continuing to be lead by Hardee and Schroeder, along with James
opportunities and building enduring careers for a roster of exceptional
Whitting and Dave Hallybone.
talent. We look forward to the next chapter as one global company, driven by agents who share an unwavering focus on the artists we
Also, Marty Diamond, who became Paradigm Talent Agency’s head
represent and the art they create”.
of global music in April, is to be honoured in an upcoming awards ceremony in New York for his “longstanding support” of the live music
Adopting the tongue in cheek approach which he has become well
industry. He will receive the Summer Stage Icon award at the City Parks
known for, Coda UK agent Alex Hardee commented: “We have
Foundation’s (CPF) 2019 gala fundraiser on 26 September.
achieved the impossible: we found some Americans that we actually get along with”.
“I’m one of many who directly benefit from City Parks Foundation and their ongoing effort to enhance and preserve the city’s open spaces,”
Colleague Tom Schroeder added: “We are A&R leaders, building
says Diamond, whose roster includes Ed Sheeran, Coldplay, Sara
creative plans for our clients in an industry that is in a constant state of
Bareilles, Janelle Monáe, Liam Gallagher, Snowpatrol and Sigur Rós.
Paradigm London’s James Whitting, Dave Hallybone, Alex Hardee and Tom Schroeder; Paradigm Chairman and CEO Sam Gores, Head of Global Music Marty Diamond, and President Greg Bestick
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VIP NEWS >
AUGUST 2019
Good News for Some Smaller UK Venues Allan McGowan am@vip-booking.com
The last few years have been notable for the disturbing number of reports of venue closures in London and the rest of the UK. However, as we have reported, the excellent and continuing work of the Music Venues Trust has gone a long way towards some improvement in the situation. One very successful campaign championed by the Trust resulted in the introduction of the ‘Agent of Change’. Based on a legality in operation in Australia, this principle sought an amendment to the guidelines used by the planning committees of local authorities, whereby these committees introduced the responsibility of developers siting residential properties next to existing venues to both anticipate and counter any future noise issues. The following item reports a successful application of the principle, and an extremely lucid explanation by a judge of the logic behind agent of change.
Guildford Venue Successfully Appeals Noise Abatement Order The Music Venue Trust has welcomed a ruling in Guildford
The order resulted from a complaint from the developer of a new
Magistrates’ Court in which a noise abatement order, issued against
block of nearby flats. The Shepherd Neame brewery, owners of the
a local venue following a complaint by the developer of new block
pub, appealed the order, arguing that compliance would reduce the
of flats, was quashed following a court application of the agent of
business’s revenue, potentially forcing the venue to close.
change principle. The developer wished to convert an office block next to the existing Guildford Borough Council first issued the noise abatement order last
music venue into a residential property. It would seem obvious that
October against the Star Inn, a pub in the town that stages live music.
choosing to position new flats next to an existing music venue, would lead to the developer assuming the responsibility to deal with resulting noise issues, however in the past this has not been the case, and situations had arisen leading to at least the imposition of heavy costs to cover acoustic work on the venue owners, and in some cases the closure of venues. This situation resulted in the the ultimately successful agent of change campaign in the UK, making it the responsibility of developers to both anticipate and counter any future noise issues. Judge Nick Wattam explained the reasoning behind the decision to refuse Guildford Borough Council’s noise abatement order relating
Star Inn Guildford
to the Star Inn: “The Star was said to have only been a nuisance because of [the new flats] existing. It wasn’t a nuisance before the
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VIP NEWS >
AUGUST 2019
conversion of the office building into flats. The venue has a useful or
In a post on Facebook, the Music Venue Trust, which campaigned
reasonable use. Matters in the venue are carried out in a lawful way.
for agent of change alongside the likes of the Musicians Union and
The venue is no greater nuisance now than when the building was
UK Music, said: “Attention all developers: Stop and read this judge’s
first converted”.
decision carefully. Our door is open to all developers that want to talk sensibly about how to build around grassroots music venues in a
The pub’s general manager Georgina Baker told Surrey Live: local
manner that protects culture and beloved community spaces”.
radio station, “This has been going on for basically a year, so we’ve had a whole year of not knowing whether we can carry on with our
The post went on: “Let this case be the end of trying to work around
music, whether we can keep booking bands”.
agent of change or bend the law or planning guidance. Let it be the start of building great housing that protects our cherished grassroots
She added that the real problem was a flawed system when the local
music venues”. It then concluded: “Congratulations to the team at
council considered the planning application to convert an office block
the Star. Absolutely brilliant!’
into flats all the way back in 2013. Officials should have recognised the potential issues with those new flats being adjacent to an existing venue and should have ensured that the developer was working to
Georgina Baker
deal with those issues as part of the conversion work. Which, of course, is the kind of logic that the agent of change principle says planning committees should always employ. Commenting on the court’s decision to quash the noise abatement order, Baker added: “It’s such a high, we had no idea which way the decision was going to go even until we adjourned today. It’s so nice that we’ve now got the go-ahead, we can carry on, we can go back to doing our live music and our local bands - that’s what the lifeblood of this pub is”.
Venue Developments Brighton’s The Haunt Announces Capacity-Boosting Relocation I’m happy to report that a venue in my home town of Brighton is to
nights such as Fat Poppadaddys and Secret Discotheque will continue
more than double its current capacity: There were reports that The
to run, while it will also be working on new nights to take advantage
Haunt was to close down but it has now been announced that it is
of the larger space.
moving into the former cinema next door. Later this month, it will reopen over five floors in the city’s Savoy Centre. With a 350 capacity in its current location, the new venue will hold up to 825 people. Retracting walls will also mean it can host 350, 600 and 825 capacity events without looking embarrassingly empty. A smaller 150 capacity second room will also be available for smaller shows. The old venue will close on 1 Sep, with the new one opening its doors on 19 Sep. There are already 50 shows on sale between the opening and Christmas, with performances from acts including Fat White Family and Swim Deep. The venue has also confirmed that club
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The Huant
VIP NEWS >
AUGUST 2019
Hoxton, London Venue to Relaunch Venue operator Mothership Group is relaunching Shoreditch’s Hoxton Square Bar & Kitchen as Colours, and will ally with fellow East London multi-art spaces Village Underground and EartH on future programming. Mothership Group also runs Shoreditch’s Queen Of Hoxton and The Book Club, as well as Patterns in Brighton - they say that Colours will “inject a much-needed vibrancy into Shoreditch’s music landscape”.
Colours will be a bold and beautiful temple of creativity and celebration of live music. A testament to Hoxton’s past, which overflows with
The new look venue will host gigs, club nights and other cultural
seminal moments across club, culture and the art scene, Colours
events, while still operating as a restaurant during the day. Though
is part of a dedicated push to keep young artists and musicians in
that won’t be the only daytime activity, with Mothership saying that it
East London”.
hopes Colours will become “an incubator for invited local artists and creative networks, providing a free space for collaborators to host
Mothership acquired the Hoxton Bar & Kitchen off previous owner
meetings, rehearsals and record podcasts”.
MAMA in 2015, following the latter’s acquisition by Live Nation.
Confirming all this, Mothership’s Chloe Uppington says: “Painting a
So, overall it’s very good to be able to report positive smaller
revolution of raw performance and inclusive and accessible culture,
venue news!
Future of Baloise Session Secured till 2025 Allan McGowan am@vip-booking.com Insurance Group Basler Versicherungen has confirmed the future of
The 34th BALOISE SESSION will be held from 12 to 31 October 2019.
the Baloise Session until 2025. The Company is extending its current
This year’s line-up will be published on 21 August. Advance tickets sales
Presenting Sponsorship contract by another five years. This assures the
start on 28 August.
future of the music festival up to and including 2025. In so doing, the insurance group states that it is demonstrating its close ties with the boutique festival and its commitment to the promotion of music.
Beatrice Stirnimann (CEO Baloise Session) and Michael Müller (CEO Schweiz Basler Versicherungen)
Baloise Session
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REEPER BAHN FESTIVAL MUSIC, ARTS, FILM, WORD, DISCOURSE
SESSIONS, SHOWCASES, MEETINGS, NETWORKING, AWARDS
→ SESSIONS WITH: MATT DILLON (ACTOR, US), CORNELIA FUNKE (AUTHOR, US), ALEXANDER HOLLAND (DEEZER, FR), HOLGER HÜBNER (WACKEN OPEN AIR, DE), THOMAS JENSEN (WACKEN OPEN AIR, DE), THOMAS MIKUSZ (WHITE BEAR PR, US), PATRICK MUSHATSI-KAREBA (SONY MUSIC, DE), KATE NASH (MUSICIAN, GB), KOOL SAVAS (MUSICIAN, DE), MOLLY NEUMAN (SONGTRUST, US), PUJA PATEL (PITCHFORK, US), BOB ROCK (PRODUCER METALLICA, CA), ZAN ROWE (TRIPLE J RADIO, AU), TILL SCHONEBERG (KONZERTBÜRO SCHONEBERG, DE), KLAUS-PETER SCHULENBERG (CTS EVENTIM, DE), MATT SCHWARZ (LIVE NATION GSA, DE), KELLY SNOOK (PRODUCER ENGINEER, GB), AND MANY MORE → CONCERTS BY: FEIST, DERMOT KENNEDY, SLEAFORD MODS, DOPE LEMON, PENGUIN CAFE, ELDERBROOK, PORTICO QUARTET, AURORA, BILLIE MARTEN, ISHMAEL ENSEMBLE, CELESTE, ONE TRUE PAIRING, SEA GIRLS, THE JAPANESE HOUSE, DONNA MISSAL, JAMES TW, WE WERE PROMISED JETPACKS, ALGIERS, AMERICAN AUTHORS, SASAMI, JUSTIN JESSO, SYML, SEBADOH, DEAN LEWIS, AND MANY MORE
→ 18.–21. SEPT. 2019 funded by
supported by
Organiser: Reeperbahn Festival GbR & Inferno Events GmbH & Co. KG
VIP NEWS >
AUGUST 2019
Application Call from Reeperbahn for ACCESS in Accra, Ghana Allan McGowan am@vip-booking.com There is no doubt that many of the African
next „Reeperbahn Festival International“
Representatives of internationally oriented
markets are developing fast! Reeperbahn
spin-off. This time they invite professionals
music
added panels and meetings dealing with this
who want to attend Africa’s leading music
Europe can now apply to become part of
at last year’s conference, and now here is
conference, ACCES, which takes place in
the delegation to Accra. Prerequisite for
news of another of their increasing Festival
Accra, Ghana from 28 – 30 November 2019
participation is activity in the recorded,
spin – offs taking place in Ghana:
to apply until 11 September 2019.
publishing, distribution, booking/live or
companies
from
Germany
and
management fields and concrete interest in After visiting Beijing and NYC already this
For the third time the Music In Africa
year with an amazing group of professionals
Conference For Collaborations, Exchange
from all over Europe, Reeperbahn is now
And Showcases (ACCES) will bring together
The application deadline is 11 September
ready to start collecting applications for its
music
2019.
industry
players
from
over
50
the African music market.
countries to exchange ideas, discover new
Acces Accra
talent and create business linkages. Held in
To get more information about Reeperbahn
a different African city every year, ACCES
Festival spin-offs (including Accra) meet
offers a dynamic programme including
the organisers of the partner events as
music industry talks, keynotes, showcases,
well as the Reeperbahn team, join us the
networking sessions, exhibitions and visits
info session during Reeperbahn Festival:
to music hubs in the host country. Get more
11am, Friday 20 September, Ginger Room,
information about ACCES 2019 here.
East Hotel.
PRS Reports Dance Music as Biggest Growing Festival Genre Allan McGowan am@vip-booking.com At the end of July UK Collection Society PRS noted that, according to a new report that
Rad Season at Amsterdam Dance Event
Electronic music festivals such as Amsterdam Dance Event (ADE) have seen the fastest growth over the last decade. PRS stated that ADE, which has hosted a PRS for Music-organised songwriters’ camp for the last two years running, has grown more than 23,000 per cent since its first event in 1995, which hosted 300 attendees. Last year’s edition attracted 70,000 punters from around the world to venues across the whole city. Other Electronic Dance Music (EDM) festivals faring particularly well include Electric Daisy
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VIP NEWS >
AUGUST 2019
Carnival in Las Vegas (up 2,600 per cent),
Heritage Festival, which was founded in 1970
Sonar in Barcelona (up 1,233 per cent) and
and has grown by 17,000 percent since then.
Germany’s Melt! Festival (up 900 per cent). Festival heavyweight, Glastonbury, which StubHub, the company behind the research,
has also been running since 1970, has
said: ‘The fastest growing festival genre is
enjoyed an 8,900 percent growth since it
in fact, EDM. This specific genre of festival
first opened its gates to just 1,500 people. It
is overriding any other, including festivals
now hosts 135,000 each June.
which host a mix of genres. The fastest-growing festival of the last ‘In second place to EDM is jazz. While at
decade is Boomtown Fair, which started in
opposite ends of the musical spectrum, it
2009 with 1,000 revellers. The Winchester
summer, PRS for Music sends a field team
seems that the festival fan base for both has
event now has a capacity of 66,000 and has
to all the major UK festivals to collect set
seriously grown.’
grown by 6,500 percent since its inception.
lists from artists and performers, and that members should make sure if the had played
However, the jazz results were skewed by the
These figures were made available to PRS
a festival this summer, that they should be
runaway success of the New Orleans Jazz and
members, who were reminded that each
sure to submit their set lists.
Green Man Festival
Top 10 Fastest Growing Festivals (and growth since first year) Amsterdam Dance Even t, Netherlands – 23,233% New Orleans Jazz & Herit age Festival -17,043% Glastonbury Festival, UK – 8,900% Boomtown Fair, UK – 6,5 00% Green Man Festival, UK – 3,233% South by Southwest, Te xas – 2,757% Electric Daisy Carnival, Vegas – 2,600% Dour Festival, Belgium – 2,320% Strawberries & Creem, UK – 1,775% St Jerome’s Laneway Fe stival, Australia – 1,329%
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THE GATEWAY TO THE FRENCH MUSIC MARKET 10th anniversary - Paris > Pigalle / Montmartre
3 days of international networking 150 keynotes & panels - 15 venues 5925 professionnals - 400 speakers MaMA Invent: the innovation area More than 150 concerts & showcases!
VIP NEWS > INDEPTH STORY >
AUGUST 2019
Summer Sales in the Concert Business Manfred Tari mt@vip-booking.com
Even though the practice of staging summer
It should also be mentioned that Germany’s
“Providence Equity Partners, LLC (USA);
sales has a long history in the retail trade, the
DEAG acquired a majority stake in I-Motion
indirect acquisition of control of ICS GmbH
announcement of the takeover and purchase
(Nature One/Mayday/Ruhr in Love, among
International Concert Service, Wacken (D) et
of International Concert Service - and thus of
others) at the beginning of June and
al.” Subject to the approval of the German
the Wacken Festival - by Superstruct, marks
that the takeover of Wacken Open Air
Federal Cartel Office, the takeover could be
another climax in the incidence of buy and
by Superstruct at the end of the summer
formally sealed within four weeks, which
sell in the 21st century concert business. And
holidays marks the change of ownership
would then provide for a majority takeover
this recent transaction took place in the year,
of Germany’s most internationally known
by Providence Equity, the actual financier
when Wacken celebrated its 30th anniversary.
festival brand.
of Superstruct. The takeover of Next Events GmbH for Parookaville has also been under
In this year’s February issue, VIP News published an article under the heading “Sales Time in the Concert Industry” and reported
The Complications and Formalities Involved in these Company Take Overs
on the financial involvement of investment
review since 31 July. If within four weeks no decision has been made, the consideration phase will automatically be prolonged by another three months.
companies from outside the industry relating
The bigger the buyer, the more demanding
to their holdings in concert companies.
the procedures are when buying a company.
The following entry on the website of the
A prominent example of this is the takeover
Austrian Federal Competition Authority is
One of the key players in this context is
of Four Artists by the German industry leader
somewhat more revealing, but also more
Superstruct, at least as far as the European
CTS Eventim, which was not approved by
confusing: “LMF Luxco S.à.r.l. intends to
festival market is concerned. Within a very
the Federal Cartel Office in 2017. Providence
acquire indirectly via the acquisition vehicle
short space of time, this company has
Equity, on the other hand, with fixed assets
Superstruct Germany Holding GmbH, 55
acquired the following festivals and concert
of around 40 billion US dollars, deals in
% of the shares and sole control of (i) ICS
companies; Down The Drain (Northside
even bigger transactions which explains the
GmbH International Concert Service, (ii)
Festival/Tinderbox/DK),
wording of the registration of the deal with
ICS Festival Service GmbH, (iii) Hübner &
the German Federal Cartel Office.
Jensen Verwaltungsgesellschaft mbH, (iv)
Elrow
(ES),
Flow
Festival (FI), Oya (NO) Sonar (ES), Sziget (HU) and, most recently, Parookaville (DE).
Hübner & Jensen GmbH & Co. KG and (v)
These transactions were empowered by the
Consequently, the notification dated 9
SH-Promotion GmbH & Co. KG to acquire.
financial support of the mighty Providence
August on the website of the Wacken
The proposed transaction concerns the live
Equity Partners from the USA.
takeover authority reads:
entertainment sector”.
Wacken Open Air
The fact is that the Wacken ‘empire’ as a company is of course still in operation, albeit with different subsidiaries. Another, on the other hand, is that the business construct of the Wacken operators and their subsidiaries appears like an open book compared to that of Superstruct.
“Acquisition vehicle” Superstruct Unfortunately, it was not possible to find out why the takeover of the Wacken Open Air
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VIP NEWS > INDEPTH STORY >
AUGUST 2019
and its accessories needs also to apply for
the upper classes of the finance community
approval in Austria at the time this article
and the concert industry.
James Barton - CEO Superstruct
went to press. Starting young, he kicked off in 1992 in Though a remarkable consideration is the
Liverpool with the club event “Cream”. The
mentioning of the company names LMF
400 person rave grew into the Creamfield
Luxco S.à.r.l. and Superstruct Germany
Festival in 1998, which at its best attracted
Holding GmbH. According to the entry in the
up to 50,000 visitors and made its successful
commercial register, the mentioned company
debut as an export hit in Argentina in 2000.
name “Blitz D19-414 GmbH, Düsseldorf, c/o
Further spin-offs followed in Brazil, Chile,
Blitzstart Holding AG” became “Superstruct
Mexico, Poland, the Czech Republic and
Germany Holding GmbH” on 30 July. The
elsewhere.
company LMF Luxco S.à.r.l., which in turn is based in Luxembourg and represented
On top of that, in 2008 Barton tapped
by the international law firm Squire Patton
into the London listed venture capital fund
Boggs, has been the owner of the brand
Ingenious Live VCT, one of the very first
to expand the industry vocabulary with
name “Superstruct” since 20 July 2017.
funds to finance concert companies, and in
technical terms such as “Due Diligence” or
2012 sold the mother ship, Cream Holdings,
“Vertical Spend Estimates”...
Location Advantage Tax Havens
for £13.9 million to Live Nation. The concert industry giant immediately appointed him
Failure of Fishing for Quotes
It is part of the development programme of
‘President of Electronic Dance Music’, which,
major international companies to be based
given the size of the company, is more like
Needless to say, the Wacken Open Air is
in locations that offer advantages from a
the status of a branch manager. At the
the best internationally known festival
fiscal point of view. In the case of Providence
end of 2016, he resigned this post and
in Germany. The takeover of this event
Equity, the company is located in Providence,
established himself as CEO of Superstruct in
by
Rhode Island. In the ranking of international
January 2017.
and highlights that the live music sector
offshore tax havens, however, Rhode Island occupies only a lower midfield position. It is interesting to note, however, that
Superstruct
additionally
confirms
continues to undergo serious amendments
Basic knowledge in buying and selling
Providence Equity has its registered office
in terms of business settings and structures. To get some observations on the meaning of
in Delaware according to the entries on the
It is obvious that a lot of specialist jargon
such deals for the live music sector, VIP News
website of the US Securities and Exchange
from legal to business questions arises in
asked 12 German industry players three
Commission (SEC), as does Live Nation.
such transactions. While Next Events used
questions regarding their opinion on these
Delaware, however, occupies a top position
the consulting agency Mayland AG for the
market developments:
in the Champions League of relevant tax
sales negotiations for the Parookaville, the
havens alongside the Cayman Islands and
creators of the Wacken Festival, according
How do you expect such deals will change
Lichtenstein and ahead of Luxembourg.
to their own statements, managed without
the concert business in general in the near
the help of M&A experts (Mergers &
future?
James Who?
Acquisitions).
Despite all the indications, James Barton, the
Information on whether and which concert
CEO of Superstruct, is by no means just a
companies are next to be sold or taken on
resourceful investment mogul who knows
board by investors is treated just as discreetly
Do you consider these acquisitions rather as
the concert business only by observing
as the purchase prices for Parookaville or
positive or negative for the German festival
the share price development of major
Wacken. It is already clear, however, that the
market?
Companies such as CTS Eventim or Live
concert business of tomorrow will undergo
Nation. Barton, born in 1968, instead knows
substantial changes at both national and
Guess what happened? VIP News received
the festival and promotion industry from
international level in view of the ever-
statements from three of these players
scratch and has come a long way from being
growing conglomerates of companies in
ranging from “ Just one word : Evil!”, “It’s
a local promoter to a middleman between
the industry. Reason enough in any case
really unbelievable, once again someone
Do you expect more such deals to take place?
13
VIP NEWS > INDEPTH STORY >
AUGUST 2019
WITHOUT any reason.” and “My answer to
AEG and Live Nation moving into the
all three questions you asked is rather blunt
European market years ago also affected
but true, I’m afraid: I got no fuckin’ idea.!”
us all as well, but not to the point that the
Julia Frank
independent companies, with an adjustment Perhaps the selection of industry inmates
of their game plan, were struggling or dying.
approached was inappropriate, but at least
Superstruct buying into Parookaville and
one of bravely submitted her comments.
Wacken will give these festivals financial
Julia Frank of Wizard Promotion delivered a
stability and they can concentrate on strong
proper conclusion and analysis, that covers
line-ups and teaming up with the other
today’s market developments accordingly:
Superstruct-owned festivals. I imagine it will be more difficult for the independent
Julia Frank – Wizard Promotions (DE)
promoters to place acts in the future, but the German festival market is strong and we
The investment industry seems to have
have a lot of mid-size events that are very
discovered the live concert market, so more
successful and sell out in advance every year.
of these deals are to be expected in the
They depend on us as much as we depend
future. We will find out how this will affect
on them when it comes to acts as the big
us as the industry in general, but we have
festival promoters often block them, so
learned from the consolidation of major
historically we have been working closely
labels around 15 years ago, that a lot of
with them - a relationship that we will
employees and artists were left on the street.
continue in the years to come.
ImagIne if you could go to one website and get aLL the contacts you need for the european Live music Industry?
WeLL you Can! www.vip-booking.com
®
145-157 St John Street | London Ec1V 4PW United Kingdom | Phone: +44 (0) 870 755 0092 www.vip-booking.com | vip@vip-booking.com
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VIP NEWS >
AUGUST 2019
The Failure of the 50th Anniversary of Woodstock Manfred Tari mt@vip-booking.com When Roger Daltrey, frontman of The Who,
DEAG was asked in an interview with the
a speech by Thunberg, where she requests
was asked at ILMC 2019 about the band’s
financial paper “Euro am Sonntag” about
among other things if it’s “time to rebel”
concert at Woodstock (1969), he said that
an anniversary edition of the festivals he
and calling for “civil disobedience.” The
it was “the first nail in the coffin of the
says: “I think everything has its time. Of
proceeds of this song will be donated to the
Vietnam War, the first thing to make the
course Woodstock is the biggest global
UK movement “Extinction Rebellion.”
government sit up and take notice.” With
brand for festivals and is anchored in
his statement Daltrey at least acknowledges,
collective memory as the culmination of the
Thunberg itself is the figurehead of the
that this festival had a political impact.
Love & Peace era. But that freedom, that
pupils movement “Fridays For Future” and
Grateful Dead atmosphere of the past, you
is considered according to an article on BBC.
Probably not intended by the promoter
can’t bring back today in air-conditioned
com by Matty Healy, the lead singer of The
as
reports
tents with built-in showers, and that’s a
1975 and their manager Jamie Osborne as
suggest, but more or less resulting from the
good thing. Basically, it’s nothing more than
“the most important person in the world to
performances of those participating in the
slaughtering an old brand.”
give a platform to.” Even more remarkable
documentaries
and
media
event. Unintentionally or not, Woodstock
is their quote regarding how the band
retrospectively became an iconic milestone
The days of Grateful Dead are gone, as
apparently struggled, when approaching
for a progressive perception of popular
well as previous political issues. Since
other artists to join their charity project for
music and its meaning for society issues.
then Woodstock at least indirectly and
the Extinction Rebellion: “Other artists didn’t
unintentionally paved the way for charity
want to do it - it’s madness, bigger artists
Since medieval times popular music always
events such as “LiveAid”, “FarmAid” or
than The 1975.”
produced protest songs, but Woodstock has
movements such as “Rock Against Fascism”
been without doubt one of the very first
or “Rock the Vote.”
mass events, triggered by popular music.
This quote says a lot about what has changed since Woodstock 1969 and in
As Daltrey in terms of Woodstock correctly
Political engagement by the music sector
particular how the music industry and
refers to the reactions to the Vietnam War
appears here and there, but all appears
their protagonists have changed. But as
as a meaningful political motive that raised
to have changed. A very current example
Woodstock was staged far away from the
concerns in society in those times, there are
therefore is the collaboration between the
deadly battlefields of Vietnam, today’s
today many other political issues that are
UK-act The 1975 and Greta Thunberg. The
worldwide festival sites unfortunately are
equally meaningful for the state and which
band teamed up with the Swedish climate
more likely than ever before of being hit by
shape for the cohesion of society.
activist and earlier on in July released the
an extreme weather incident. With this in
single “The 1975” from the new album
mind, never mind Woodstock, think of how
“Notes on a Conditional Form”, featuring
to launch “Festivals for Future”...
One of the best articles summarising the failure of the staging of an event to commemorate the 50th anniversary of Woodstock was published by Billboard. Headlined as “The Turbulent Saga of Woodstock 50: A Timeline”, this story provided an overview about the manifold reasons for, and what lead to the cancellation of Woodstock 50. Well, leaving aside nostalgia, that particular article in Billboard describes a proper picture of today’s settings in the live music industry. When Peter Schwenkow, CEO of
The Who at Woodstock 1969
15
VIP NEWS >
NAMES & JOBS
AUGUST 2019
New MD for Live Nation Finland From VIP-Daily News Live Nation Finland has appointed Tomi
produce high-quality, memorable events and
Saarinen as its new chief executive officer,
develop our artist roster. We want to be the
the company has announced.
best partner for artists, and enable them to develop to their full potential, while providing
Saarinen, who is based out of Live Nation’s
Finns with ever-more exciting experiences. I
Helsinki office, was formerly marking director
thank Live Nation for this great opportunity.”
of Sony Music Finland and has also worked at Finnish radio stations YleX and NJR. He
Castrén added: “I leave Tom with a strong,
succeeds outgoing CEO Nina Castrén, who
stable and successful market leader and
is stepping down for health reasons.
continues “I am proud of the company, and I believe Tom will continue to increase its
Of his appointment, Saarinen said: “It’s great
success with his input.”
to be part of a top team that has recently Risto
Finland‘s
year career. Her legacy provides Tom with a
Metallica, as well as several other gigs over
chairman said: “The company is very grateful
solid foundation from which to develop Live
the Finnish summer. We will continue to
to Nina for her contribution, both as CEO
Nation’s market leadership.”
Tomi Saarinen
16
over the last nine years and over her 20-
performed spectacularly with Muse and
Juvonen,
Live
Nation
R U O TION Y T RA E G IST
! W O N
REG
STICHTING EUROSONIC NOORDERSLAG
VIP NEWS > BUSINESS >
MUSIC IN SHARES
AUGUST 2019
Music In Shares Manfred Tari mt@vip-booking.com
The financial community apparently loves live music. Perhaps this is
announced expectation of further growth figures for the on-going
outlined by a video clip released by The Economist, where a young
business year.
reporter asks the question: “Why are music festivals so expensive?” Since the beginning of August the share price of CTS Eventim went The clip scratches the surface of what non-industry-folks or public
up, successfully overtaking the 50 Euro per share mark, maintaining
interest journalists assume to know about the live music industry.
the level of 50.55 Euro on August 23, when this report went to press...
However, coming up with a catchy observation the journalist concludes as part of video-report that we are living in the age of the “experience economy.”
DEAG - Feeding The Growth Story
‘Well said’, could be the overall assumption, not going too much
DEAG acquired 51 per cent of Meves Entertainment Group, a
into details about the functioning of this industry, except the hard
company specialized in so called “Schlagermusik.” No information
facts that artists fees are going up and that festival promoters today
on the purchase price has been given, but since June 27 the share
have to cope with significantly higher production expenses.
price went down from 4.65 to 3.65 Euro...
However, “experience economy” is a proper buzz term that should work for analysts and investment managers to spent a few extra
Eventbrite - Slightly Up
bucks when it comes to a positive decision how to invest money. The share price of Eventbrite has faced tough times. In March 2019 still above $30, but on May 30 down to $15.33, presently at least
CTS Eventim - Convincingly H1/2019 Results
it is up to $19.11.
Politically CTS Eventim is, indirectly due to a court decision by the highest EU court regarding its promising Autobahn-toll-business, in
Live Nation - The Outperformer
the news. Andreas Scheuer, the German minister for traffic signed contracts before the court decision, leading to the fact that the
Basically this company fulfils investor and analyst expectations with
ministry for traffic might now have to pay compensation fees for
its growth strategy. For the business year 2005, the year of the spin
the minister’s breach of contract .
off from Clear Channel on December 21, Live Nation reported a turnover of $2.51 bn*. Now Live Nation reports for the 2nd quarter
Whatever is in it for CTS Eventim has currently caused a political
2019 alone, a turnover of $2.63 bn.
uproar. However, the business results for the first half year by CTS Eventim indicate upwards trend for the shares of the company.
Backed by positive analyst ratings and due to the fact that institutional investors raised their share holdings in the company
The revenue moved up from a previous 606,6 in H1-2018 up to
the share is now up to $70,72 and exceeds therewith a market
696,6 million Euros. The revenue for the ticketing division moved
capitalization of $15 billion...
from 183,4 up to 200,2 million Euros, while that of the live music activities rose from 429,1 up to 504,5 million Euro.
Spotify - Summer Recovery The Earnings before Interests, Taxes, Depreciation and Amortization
18
(EBITDA) peaked at 111,8 million Euros compare to 94,1 million
Since June 3rd this share has experienced a recovery, up from
Euros one year before, while the management of CTS Eventim
$122.81 to $138.0 on August 23....
VIP NEWS > MISC >
AUGUST 2019
MEMBER PRESENTATION
This space is dedicated to present some of our clients using VIP-Booking.com. Companies presented here have our best endorsement...
ARTIST AVAILS KAREN MÉNDEZ Territory: Worldwide Period: 3 years Agency: Be Real Agency Agent: Paul Fourmy Phone: +32 485 365 696 E-mail: paul@bereal.agency Homepage: www.realkeymusic.com
OUMAR KONATE Territory: worldwide Period: 2019-2020 Agency: Clermont Music Agent: Chris Nolan Phone: +1 518 755 5089 E-mail: chrisanolan3@clermontmusic.com Homepage: www.clermontmusic.com/oumar-konate/
ACOD Territory: World Period: 2019 - 2021 Agency: Phenix Agency Agent: Julien Pagnon Phone: +33 6869 11017 E-mail: julien@phenix-agency.eu Homepage: www.acod-music.com
AME.Media is one the biggest management and booking companies in Germany working with international artists such as Lou Bega, Hermes House Band, Marquess, Loona, and Feuerherz. Get in touch via contact@ame-media.de or +49 (0) 2451-909487. www.ame-media.de
MAMADOU KELLY Territory: Worldwide Period: 2019-2020 Agency: Clermont Music Agent: Chris Nolan Phone: +1 5187 555089 E-mail: chrisanolan3@clermontmusic.com Homepage: www.clermontmusic.com/mamadou-kelly/
ZAP MAMA Territory: Europe Period: 2019 Agency: Artistagency gent: Bart Quintens Phone: +32 16 77 76 70 E-mail: bart@artistagency.be Homepage: www.zapmama.com
ROBERTA BONFARDECI Territory: Germany - Paris Period: August Agency: THEWEBENGINE Agent: Giuseppe Fisicaro Phone: 35 199 23670 E-mail: info@thewebengine.it Homepage: www.thewebengine.it
About Our Company VIP-Booking’s core product is the largestdatabasefor the European Live Entertainment Industry www.vip-booking.comdeveloped as a tool for industry professionals. Since it’s launch in the year 2000, we have consistently offered our subscribers the very best in database services and now boast subscribersin over 50 countries.
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