Super D has acquired Alliance Entertainment in a move that will create the second largest U.S. wholesaler with revenues of about $920 million, sources tell Billboard. The deal closed earlier Wednesday (Sept. 4) and Super D principals Bruce Ogilvie and Jeff Walker were conducting conference calls into the evening with retailers and vendors to reveal the news, sources say.
Billboard estimates that the combined company will have music sales of about $450 million, and a combined market share of 6.64%, making it the fourth largest music account in the U.S. behind iTunes, Anderson Merchandisers and Amazon.
Terms of the deal are not going to be disclosed, but Billboard estimates that Super D paid somewhere in the range of $85 million and $125 million. The $85 million represents the amount that Platinum Equity and the Gores Group paid for Alliance when it acquired the company in 2011.