Live Nation Entertainment LYV has resumed its previously announced acquisition of a 51% controlling interest in OCESA Entretenimiento, a leading promoter in Latin America and owner of Ticketmaster Mexico. The deal was delayed at the onset of the COVID-19 pandemic.
What Happened: Live Nation is paying $444 million to acquire the majority stake in Ocesa from Grupo Corporación Interamericana de Entretenimiento, a Mexican entertainment and media company, and Grupo Televisa, TV the Spanish-language world’s largest multimedia company.
As part of the transaction, Live Nation also acquired an interest in OcesaSeitrack, OCESA's booking and artist management joint venture; ICREA, one of Mexico's special and corporate event specialists; and Centro Citibanamex, an exhibition and convention center in Mexico City.
The acquisition was previously announced in July 2019 but was paused due to the pandemic. It is now expected to close by late 2021 or early 2022.
Why It Matters: Prior to the pandemic, OCESA promoted more than 3,100 events for nearly 6 million fans in a typical year across Mexico and Colombia — including tours by Coldplay, Paul McCartney and U2 – and the company’s business portfolio covers ticketing via the Ticketmaster Mexico division, sponsorship, food and beverage, merchandise and venue operations with 13 Mexican venues that have a collective capacity of approximately 250,000 seats.
"After serving as Live Nation's touring, festival, and ticketing partner in Mexico for years, we know OCESA is a stellar business with deep roots in live entertainment in Mexico," said Michael Rapino, president and CEO at Live Nation Entertainment, adding that in a post-pandemic environment "OCESA will play a pivotal role in putting together many incredible shows in Mexico and the rest of Latin America."
Photo: An OCESA-promoted concert in Mexico prior to the pandemic.
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