AEG Live and Transom Capital Group announced today that it will merge their entertainment licensing and merchandising businesses, BandMerch and Cinder Block, into a standalone entity creating the largest, full-service independent entertainment merchandising company in the United States. The combined company will be home to the largest names in sports and music entertainment including: The Who, Manchester United, Black Veil Brides, Asking Alexandria, Arsenal, Rise Against, All Time Low, Coheed and Cambria, Death Cab for Cutie, Misfits, Postal Service, The National, Flogging Molly and several others. The company will continue as BandMerch and operate from its facility located in Los Angeles, CA. The new entity will maintain a strategic relationship with AEG Live.
Backbone Capital assisted Transom Capital Group throughout the entire process, dedicating its resources to sourcing and arranging the financing for the transaction. This was a complex transaction which benefited from the expertise lent by both Backbone Capital and Transom Capital, to ensure excellent terms and a smooth closing.
Jason Greene, CEO of Cinder Block, will continue as CEO of the combined entity. Commenting on the opportunities the merger presents, Mr. Greene said, “What we’re seeing is that clients want a real, multi-channel sales strategy that brings incremental value to the table. The combination of Cinder Block and BandMerch positions us as the leading alternative for artists who are seeking a high-touch, high-service, high-quality experience from their merchandise partner. After this merger we will boast the single largest mid-tier retail roster in the world, a global touring footprint and leading-edge e-commerce capabilities. The future is bright.”
“The business rationale makes perfect sense and the values of BandMerch – customer service, loyalty, dedication – are values that AEG shares and promotes. We think this will be a transformational transaction for both companies,” said Rick Webking, CFO of AEG Live.
About Transom Capital
Transom Capital Group is a Los Angeles-based private equity firm with an operational focus to private equity investing in the middle-market. The Transom Capital team has a proven track record of investing in, restructuring, and growing businesses for the long-term. Visit the company at www.transomcapital.com.
About Backbone Capital Advisors, LLC
Backbone Capital Advisors, LLC is a full-service professional financing arranger, providing both traditional and non-traditional capital sourcing, with complete execution, for middle market businesses that require debt financing and other capital solutions. Backbone Capital supports private equity funds, independent sponsors, direct operating companies, professionals and boutique investment bankers to deliver all types of leveraged solutions. Backbone Capital offers expertise in all types of middle market and lower middle market financings, including asset-based, senior cash flow, second lien, mezzanine, and unitranche. Backbone Capital also offers other solutions across the capital structure of the borrower, with considerable experience in handling more challenging and special situations. To learn more about Backbone Capital, please go to www.backbonecap.com.
Please forward all inquiries and opportunities to:
Britt Terrell, Managing Director
Backbone Capital Advisors, LLC