Soul Stone

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Lore & Background

Bertelsmann entered the music business in the 1950s by adding music to its book club, launching the Ariola record label, and establishing the Sonopress pressing plant. In 1975, Ariola opened a US office. Bertelsmann acquired Arista Records in 1979 and half ownership of RCA Records in 1985, becoming one of the world's largest music companies. After fully acquiring RCA Records in 1987, Bertelsmann brought its subsidiaries together to form Bertelsmann Music Group (BMG), covering folk, pop, and especially classical music. In 2003, Bertelsmann merged its record label interests with Sony to create Sony BMG. In 2006, Bertelsmann sold BMG Music Publishing to Universal Music Group. In 2008, Bertelsmann sold its stake in Sony BMG, which was renamed Sony Music Entertainment. In October 2008, Bertelsmann launched the new BMG with a small portfolio of recorded music rights from around 200 artists retained from Sony BMG, declaring a business model focused on fairness, service, and transparency. The launch came amidst the 2008 financial crisis, within two weeks of the collapse of Lehman Brothers. Since Bertelsmann could not supply the required funds on its own, a 51% stake was sold to KKR in 2009, with Bertelsmann retaining 49% and the right to appoint management. In 2013, KKR sold its stake back to Bertelsmann, making it the sole shareholder. Under CEO Thomas Rabe, Bertelsmann again cited music as a strategic growth area. In 2016, Bertelsmann turned BMG into a stand-alone division. Today, BMG is considered a prime example of how growth platforms are created and leveraged at Bertelsmann.

In Their Own Story

Initially, Bertelsmann announced the new BMG would focus on the European broadcast market. After KKR became majority shareholder, the company set its sights on expanding internationally. A key step was acquiring Cherry Lane Music Publishing in 2009, giving BMG its first US foothold. BMG made several other purchases in 2010, including Evergreen Copyright Acquisitions. In 2011, Bug Music was bought, followed by R2M Music in 2012. Bertelsmann was reported to be interested in buying EMI, but EMI was ultimately acquired by Universal Music Group and Warner Music Group (record labels) and Sony/ATV Music Publishing (songwriters). Regulatory authorities approved the deal subject to conditions including the sale of several labels, allowing BMG to acquire Mute Records (2012) and Sanctuary Records (2013), as well as the publishing catalogues of EMI Virgin Music and Famous Music UK from Sony/ATV. In 2013, BMG began to represent rights to songs by Robbie Williams and the Rolling Stones. Record labels added included Union Square Music, Vagrant Music, Infectious Music (2014), S-Curve Records, Rise Records (2015), ARC Music, and The End Records (2016). By acquiring Basement, BMG entered the Brazilian market. In 2016, BMG signed an agreement with Warner Music's Alternative Distribution Alliance for physical and digital distribution. BMG further expanded by entering the Chinese market in cooperation with Alibaba. In 2017, BMG purchased BBR Music Group for over $100 million, the largest recorded music acquisition in its history, improving its position in country music and ensuring long-term presence in Nashville. In 2022, BMG announced its first new British record label since 2009, Tag8 Music, set up with ex-Bros member Craig Logan. On the Official Albums Chart of 4 November 2022, the label charted its first hit album with Blue's Heart & Soul. In October 2023, BMG signed with Universal Music Group for physical distribution and started self-distributing its catalog on digital platforms, ending the partnership with Warner Music. The transition of physical distribution to Universal took place over 2024, completed in October 2024. On 28 April 2026, BMG and Concord announced they would combine, operating under the BMG name, with Bertelsmann owning a 67% stake and the remainder owned by Great Mountain Partners. On June 12, 2026, the merger was approved by the German Federal Cartel Office. On June 17, 2026, it was approved by US competition authorities.

Reader's Guide

BMG offers musicians the services generally provided by music publishers and record labels, running them under the same roof and on the same technology platform. More recently, it has added film, television, and books to its roster of services. BMG publishing represents the rights of songwriters. BMG has a significant library of production music for use in films, television, advertising, and other media, including catalogues such as MusicDirector, Human Music, Music Beyond, X-Ray Dog, Beds & Beats, Valentino Production Music, Immediate Music, AXS Music, Altitude Music, and Must Save Jane. BMG's labels include 19 Recordings, 43B, Too Lost LLC, BBR Music Group (with Broken Bow Records, Stoney Creek Records, Wheelhouse Records), Rise Records, S-Curve Records (back catalogue), Infectious Music, Vagrant Records, BMG Chrysalis (restructured and consolidated in 2016 and 2017), The Echo Label, Go-Feet Records, MAM Records, Mute Records (pre-2010 catalogue), Union Square Music (including Salvo, Metro, Skint Records, Loaded Records, Skyblaze Recordings), Sanctuary Records Group (including Castle Communications, Pye Records, Precision Records and Tapes, Transatlantic Records, Sugar Hill Records, CMC International, Mayan Records, Neat Records, Noise Records, RAS Records, Trojan Records, Jet Records, Upsetter Records, Urban Records), Countdown Media, Alshire/Somerset, Everest Records, Mediaphon, Dobre Records, SRP Records, Glove Music, Alto Records, RAM Records, RBC Records, World Circuit Records, Disques Dreyfus, Albert Music, Albert Productions, The End Records, Verse Music Group, Golden Records, Bethlehem Records, Salsoul Records, and W. BMG's parent enterprise is BMG Rights Management GmbH, a limited liability company under German law. The company's objective is 'the marketing of music, as well as its development and delivery' for use in media, at concerts, and for other purposes. BMG has numerous subsidiaries and shareholdings, for example, BMG Rights Management (Europe) GmbH. In addition to Germany, BMG is present in Australia, Brazil, China, France, Italy, Spain, the UK, the Benelux countries, the United States, Canada, and Scandinavia. As of December 2025, senior management includes Thomas Coesfeld (CEO), Mathis Wolter (CFO), Melanie McAllister (CHRO), and Sebastian Hentzschel (COO). In the 2018 financial year, BMG posted revenues of €545 million, with rights and licenses accounting for 91.1% and products and merchandise 8.9%. Almost half of revenues (44.1%) were generated in the United States, followed by the UK (24.7%), Germany (6.3%), and France (3.9%).

Did You Know?

• BMG was originally founded in 1985 and relaunched in October 2008 after Bertelsmann sold its stake in Sony BMG to Sony.
• From 2009 to 2013, the investment firm KKR held 51% of BMG, making it one of the world's largest music publishers during that time.
• In 2017, BMG purchased BBR Music Group for over $100 million, the largest recorded music acquisition in the company's history.
• In the 2018 financial year, BMG posted revenues of €545 million, with 44.1% generated in the United States.