DEAG Classics AG in Berlin, a wholly-owned subsidiary of German promoter Deutsche Entertainment AG, is extending its reach in the international classical music business through a deal to buy 75.1% in British classical music concert promoter Raymond Gubbay Ltd.
The purchase price is understood to be in the low single-digit millions, and is being paid in cash and through the issue of around 1.7 million new DEAG shares. After the transaction, the number of DEAG shares will amount to approximately 24.8 million.
“With its expansion in the U.K. market and the recently established Swiss joint venture, Switzerland Classics AG in Zurich, DEAG will be bringing an even greater number of top international classical music stars and important classical music events to Germany,” comments DEAG CEO Peter Schwenkow.
Incorporated in 1966, RGL organizes 400 opera, ballet and concerts each year in the U.K., Europe and Australia.
DEAG Classics, which launched in 2004, arranges concerts and tours featuring the likes of singer Anna Netrebko, pianist Lang Lang, tenors Rolando Villazón, Plácido Domingo and Jonas Kaufmann, violinist David Garrett and pianist Jewgenij Kissin.
Raymond Gubbay, founder of RGL, will continue to manage the company as executive chairman under a long-term contract and assist Schwenkow as a consultant. Gubbay will also serve as a member of DEAG Classics’s supervisory board, driving its expansion efforts, particularly in Scandinavia and France.
DEAG also has plans to extend its classical network in Austria and the Netherlands.
RGL’s Anthony Findlay will continue to hold the position of managing director under a long-term contract and remain responsible for the company’s day-to-day management.