SESAC, the performance rights organization (PRO), may be up for sale in 2025 as current owner Blackstone reportedly entertains offers from multiple private equity firms.

The timing follows significant music industry acquisitions, including New Mountain Capital's purchase of BMI and Hellman & Friedman's reported majority stake acquisition in Global Music Rights (GMR) at a $3.3 billion valuation.

Several private equity firms that unsuccessfully bid for GMR are now approaching Blackstone about SESAC. Blackstone is being selective, engaging primarily with firms that have shown initial interest rather than broadly marketing the PRO.

SESAC's portfolio includes valuable assets:

• Audiam
• Harry Fox Agency
• AudioSalad
• HAAWK
• Rumblefish

In April 2024, SESAC strategically consolidated these subsidiaries into a comprehensive "Music Services Division," creating a one-stop licensing, administration, and royalty-collection hub.

The potential sale appears promising, particularly since SESAC operates without consent decree restrictions, unlike BMI and ASCAP. This regulatory freedom could make it more attractive to potential buyers.

The broader music industry continues to see significant M&A activity, with Warner Music actively seeking acquisitions and Universal Music recently purchasing Downtown Music through Virgin.

Rising inflation and increasing market consolidation are driving larger companies to consider substantial sales, suggesting continued momentum in music industry acquisitions through 2025.

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