Sheridan Square expected to take over.
Sheridan Square, owner of Artemis Records and Musicrama, is on the verge of acquiring the Compendia Music Group, according to sources.
Compendia -- which was formed from Platinum Entertainment assets in the wake of that company's 2000 Chapter 11 filing -- is expected to have net sales of $9 million-$10 million this year. The company's owner, financial firm Dominion Resources, has been shopping the label since early summer.
Sheridan Square is a unit of Redux Records, which was formed by former Alliance Entertainment executives Joe Bianco and Anil Narang to roll up independent label catalog.
Compendia will serve as Sheridan Square's Nashville presence, and will continue to be overseen by label president Michael Olsen, sources suggest.
Dominion Resources is an energy company with extensive holdings including a number of finanical firms, and one of those firms was a secured lender to Platinum Entertainment. When that label filed for Chapter 11, the Dominion Resources financial company was assigned ownership of the label as payment for the loan.