Los Angeles music management company Spivak Sobol Entertainment has merged with the Firm, bringing with it such acts as Yellowcard, A Perfect Circle, Queens Of The Stone Age, Three Days Grace, Vanessa
Los Angeles music management company Spivak Sobol Entertainment has merged with the Firm, bringing with it such acts as Yellowcard, A Perfect Circle, Queens Of The Stone Age, Three Days Grace, Vanessa Carlton and the Distillers. They join such Firm clients as Limp Bizkit, Korn, Linkin Park, Dixie Chicks, Audioslave, Enrique Iglesias, Snoop Dogg and Michelle Branch. The merger is effective immediately.
The move follows an infusion of capital into the Firm by private equity firms Bain Capital and Thomas Lee, and is likely the start of a more aggressively acquisitive posture for the agency, with activity including TV/film production and retail brand ownership.
Spivak Sobol principals Arthur Spivak and Stu Sobol and their team of managers and clients will relocate to the Firm’s Beverly Hills, Calif., offices.
Spivak tells Billboard.biz the merger is about clout, access to information, cross marketing potential, and value to clients. “This is a place I can go every day and have a good time,” says Spivak, adding that he addressed artists' concerns that they might lose attention in such a merger. “That’s why I was very clear about having all of our people come over [to the Firm],” Spivak says. “Nothing will change for our clients, except they will have access to more information and more clout in the marketplace.”
The merger is the latest development in increasing consolidation among management companies. "Given the changing and consolidating entertainment landscape, it is more important than ever that artists and their concerns be better represented,” says Firm CEO Jeff Kwatinetz in a statement.
“By pooling our collective resources, we can strengthen and better leverage artists' issues,” Kwatinetz continues. “As we redefine the role of manager, it is imperative that the artist community works together to better strengthen their place in this shifting climate.”
Spivak predicts more management consolidation. “This will be happening more and more, and I’d rather be involved with [people] who have a vision for what the future will be.”
Spivak and Sobol formed Spivak Sobol Entertainment in 1996. Before that, Spivak spent more than two decades in management, while Sobol worked in recorded music, focusing on promotion and A&R at various labels.
Kwatinetz founded the Firm in 1997. The other principals are chairmen Rich Frank and Rick Yorn and president Dave Baram.