Too Misplaced has entered the chat…
Yesterday (October 16), Music Enterprise Worldwide printed a assortment of views from leaders within the international unbiased music distribution area on a major business subject: Common‘s proposed $775 million takeover of Downtown.
That takeover, which might see UMG purchase Downtown and subsidiaries comparable to CD Child, Curve, and FUGA, is at present the topic of an anti-competition investigation by the European Fee (EC).
Our article yesterday collated feedback on the deal from leaders of standout indie distributors/music supply specialists comparable to UnitedMasters, OneRPM, Imagine, AudioSalad, Zebralution, IDOL, Ditto, Symphonic Distribution, and extra.
Most distributors quoted within the function said they have been unfazed by the prospect of UMG buying Downtown/FUGA, regardless of the plain aggressive problem the deal could lay at their door.
Certainly, most firm founders have been hopeful they may even achieve enterprise, as they appear to poach Downtown/FUGA purchasers who could look to go away ought to UMG full the transaction.
Konrad Von Löhneysen, CEO of Germany’s Zebralution, summed up this view when he informed MBW: “We’ve our personal provide chain, so we’re not fazed about FUGA being taken over by Common… if the FUGA/Virgin/Downtown setup isn’t an interesting providing for some unbiased labels, we’ll ensure they find out about us.”
“I’ve seen a variety of deal with what this implies for Virgin and UMG, however to me, that is a good greater win for Downtown. Entrepreneurs constructing sustainable corporations within the unbiased area must be celebrated for reaching significant outcomes like this, not criticized for them.”
Gregory Hirschhorn, Too Misplaced
A big participant that wasn’t quoted by MBW was Too Misplaced – one of many fastest-growing unbiased distribution and publishing corporations on the planet, and a placing success story for music entrepreneurialism over the previous 5 years.
New York-headquartered Too Misplaced, based in 2020, serves over 300,000 labels and artists, and has launched music from acts together with Teddy Swims, Tory Lanez, Pink Sweat$, Chief Keef, Royel Otis, KAYTRANADA, and Alex Warren.
The worthwhile firm confirmed earlier this yr that it is on monitor to surpass $100 million in annual income in 2025, having achieved 130%+ YoY progress in 2024.
Too Misplaced co-founder and CEO, Gregory Hirschhorn, was travelling when MBW requested for touch upon UMG/Downtown earlier this week, however has now said his views on the document.
Unsurprisingly, they add a considerate and sharp perspective, and you’ll learn them beneath. (We’ve additionally added them to yesterday’s round-up.)
Says Hirschhorn: “The unbiased sector stays the fastest-growing a part of the worldwide music enterprise, and [the UMG/Downtown] merger highlights simply how beneficial that ecosystem has turn into.
“I’ve seen a variety of deal with what this implies for Virgin and UMG, however to me, that is a good greater win for Downtown. Entrepreneurs constructing sustainable corporations within the unbiased area must be celebrated for reaching significant outcomes like this, not criticized for them.”
“Too Misplaced is well-positioned to proceed rising no matter consolidation amongst bigger gamers… Competitors has all the time been a part of our DNA.”
Gregory Hirschhorn, Too Misplaced
He provides: “From my perspective, Too Misplaced is well-positioned to proceed rising no matter consolidation amongst bigger gamers.
“Once I began the corporate, there have been already dozens of distributors out there. Competitors has all the time been a part of our DNA.
“We’ve by no means labored with Downtown or FUGA, so there’s no direct impression to our operations. And for purchasers preferring to stay totally unbiased of the key label system, corporations like Too Misplaced provide robust, scalable options.
“We’ve already welcomed a number of former Downtown purchasers who share that imaginative and prescient, and I anticipate we’ll see extra to return.”
Previously few weeks, Too Misplaced has made two seven-figure investments (one into an indie label, Riot Information, and one other right into a catalog acquisition firm, AntiFragile Fairness Companions) whereas additionally inking a partnership with superfan platform, EVEN.
Vital unbiased music corporations opposing Common’s takeover of Downtown embody Beggars Group, Secretly Group, and Exceleration Music.
The EC’s Part II investigation into the deal is at present paused, with its final verdict now anticipated to reach as late as Q1 2026.Music Enterprise Worldwide
