Live Nation Acquires Additional 24% Stake In Mexican Promoter OCESA For $646M

With Mexico’s remarkable ascension in live entertainment over the past five years, Live Nation announced Tuesday it will accelerate its purchase agreement with Corporación Interamericana de Entretenimiento (CIE) and acquire an additional 24% stake in major Mexican promoter OCESA.

The $646 million transaction is expected to close by the end of August following a shareholder vote and will increase Live Nation’s stake in OCESA to 75%.

Former OCESA owner CIE will retain a 25% stake in the company, and Alejandro Soberón will remain as CEO of the major promoter through 2032. A put and call agreement for the remaining stake has been pushed back to 2032.

“Our investment in OCESA has been incredibly successful, and Alejandro and his team have done a tremendous job utilizing the global Live Nation infrastructure to drive growth in Mexico,” Michael Rapino, president and CEO of Live Nation Entertainment, said in a statement. “Together we have more than tripled the number of fans attending our concerts in Mexico since 2019, making Mexico now the third largest music market in the world, and I expect we have many years of strong growth ahead of us.”

Live Nation invested in OCESA in late 2021 when it acquired a 51% controlling stake for $444 million. Live Nation says the investment reduces partner requirements and brings long-term capital clarity to the partnership with CIE.

“Live Nation and Michael Rapino have been ideal partners,” said Soberón, who founded OCESA and is also executive chairman and CEO of CIE. “The combination of our market knowledge and Live Nation’s expertise have come together to create more opportunities for artists to perform in Mexico and for fans to enjoy these shows.”

OCESA operates more than a dozen venues across Mexico and not only promotes thousands of concerts each year but also puts on some of the country’s most notable festivals, including Corona Capital and Vive Latino.

The Mexican powerhouse ranked No. 2 behind Live Nation on Pollstar’s Mid-Year Top 100 Promoter charts, grossing $489,022,600 off 5,711,494 tickets sold.

Mexico City, in particular, has become a cultural destination for many across the globe, attracting artists from all genres. The crown jewel of the nation’s capital is none other than Estadio GNP Seguros (formerly known as Foro Sol), a 65,000-capacity stadium built for live music. The OCESA-operated venue sold more tickets than any other last year, grossing a whopping $144,506,687 off 1,582,619 tickets, and that was accomplished despite being closed for six months due to major renovations.

Live Nation not only sees potential growth in Mexico but in all of Latin America. The global powerhouse acquired Dominican Republic promoter SD Concerts in May and has done similar deals in LATAM in the past decade.

In 2023, Live Nation acquired Colombian promoter Páramo Presenta through OCESA, which has a subsidiary in the South American nation. Páramo Presenta is responsible for major events like Estéreo Picnic in Bogotá, Baum Festival and Knotfest. In 2018, Live Nation purchased a majority stake in Argentinian promoter DF Entertainment and followed that up with purchasing a controlling stake in Chile’s DG Medios a year later.