BMG Pays $54M For Talpa

It’s the German company’s first major acquisition since it bought part of Virgin Music Publishing’s catalogues, which included songs by Kurt Cobain, Tears for Fears, Iggy Pop, Duffy, Mark Ronson, The Human League, Terence Trent D’Arby and The Kooks.

It previously bought Mute Records and Sanctuary Records from Universal Music Group, also part of the disposals the Vivendi-owned company was forced to make before getting the EC’s go-ahead for its $1.9 billion purchase of EMI.

“This is a very significant acquisition of one of Europe’s leading music publishers,” said BMG chief exec Hartwig Masuch. “At one stroke it not only further builds our position in the Benelux, making us the leading publisher of local repertoire, it gives us access to leading international songwriters.”

BMG now has the rights to about 250,000 songs and was valued at about $1.36 billion when U.S.-based private equity firm Kohlberg Kravis Roberts sold its stake last year to give Bertelsmann full control of what is now the world’s fourth-largest music publisher.

Bertelsmann set up BMG with KKR in 2008.

It previously quit the music business by selling its label, also called BMG, to Sony Music, but decided to try again with a focus on rights management rather than record sales, which were tumbling as a result of the shift to online music.

Talpa’s songwriters are responsible for pop hits including Beyonce’s “Run The World (Girls)” and “Bang Bang” by Will.i.am.

It also owns a host of top-selling dance tracks by big-name club DJs such as Tiesto and Freddy Le Grand.

As part of the deal, BMG will also take control of Canal Music Publishing, which handles publishing rights for songs written by contestants on “The Voice” in 150 countries.