NBCUniversal and investment partner pay $ 293 million for a 30% stake in Grand Ole Opry and related country music properties

NBCUniversal and investment partner Atairos paid $ 293 million for 30% of fabulous country music brand Grand Ole Opry and its affiliated live, resource-based entertainment group.

Opry House, Ryman Auditorium, is known for hosting the country’s music awards. This is the cornerstone of Opry Entertainment Group, a division of Ryman Hospitality Properties that is investing in NBCU. Along with the Ryman and the Opry, the nearly century-old country music showcase owns a smaller collection of music venues called Ole Red, the WSM-AM radio station and a 50% stake in the style media network. countryside. The network is a joint venture with Gray Television, which owns the main group of stations. Broadcasts of the weekly play “Grand Ole Opry” air on Circle.

Atairos bears nearly the entire cost of acquiring the shares, amounting to $ 278 million, compared to a $ 15 million direct investment by NBCU. The transaction, which is expected to be completed in the current quarter, is valued by Opry Entertainment at $ 1.415 million. That amount will increase to $ 1.515 billion, under the terms of the agreement, after Aairos makes an additional $ 30 million available, depending on certain performance targets. OEG will also recapitalize with a term loan of $ 300 million, in addition to selling a 30% stake.

“Over the past decade, we have shared the excitement for the exciting future of our entertainment business and the significant value creation opportunities that exist as we expand our access across the country and move to an integrated platform for the style of country life. OEG, “said Hospitality CEO Ryman. Co. Statement of transactions.

After receiving unwanted interest in June 2021, Riemann initiated a formal strategic process to discuss its options. Covid has changed the calculation for many live event venues that have finally returned to relatively normal operations after two years, marked by significant delays and a slowdown in travel and leisure spending.

Atairos and NBCUniversal are “so grateful for the legendary resources under our watch,” added Reed, “and we are ready to protect and nurture them for future generations of music lovers.” We see this partnership as an important opportunity to strengthen these beloved institutions and strengthen their influence on American musical culture. “

Atairos CEO Michael Angelakis said Opryland’s portfolio offers “a solid foundation for continued growth as a fully integrated rural lifestyle platform. We look forward to partnering with the RHP and OEG teams to explore new content distribution strategies and support their ambition to become a leading live media and entertainment player in the country.

David Petricha of NBCU EVP Strategy and Business Development said the company looks forward to “opportunities to use our expertise in media, technology and content creation to help OEG accelerate its plans and bring its iconic brands, artists and cities. historical music lovers from all over the world.