Downtown Music Holdings Buys AVL Digital Group

Acquisition Mode

DOWNTOWN MUSIC HOLDINGS, parent company of DOWNTOWN MUSIC PUBLISHING and SONGTRUST, is acquiring AVL DIGITAL GROUP and its portfolio of music distribution, rights management and artist services businesses, including ADREV, CD BABY, DASHGO and SOUNDROP. The acquisition is expected to close in early APRIL, at which AVL DIGITAL and its portfolio companies will continue to operate as a separate subsidiary of DOWNTOWN MUSIC HOLDINGS, led by led by CD BABY CEO TRACY MADDUX.

AVL’s client base includes over 900,000 artists, labels and other rights holders, the largest indie sound recording catalog in the music industry. Collectively, AVL’s portfolio companies distribute and monetize over 10 million tracks across content streaming services such as AMAZON, APPLE MUSIC, SPOTIFY and YOUTUBE. 

“Tracy and his team have built a portfolio of music businesses operating at unmatched scale. AVL’s technology, diverse offerings and artist-first approach are well-positioned to power some of the fastest growing segments of the industry,”  DOWNTOWN Founder/CEO JUSTIN KALIFOWITZ said. “Beyond shared values, the acquisition of AVL expands upon our existing portfolio and represents DOWNTOWN’s strategy of developing and investing in preeminent music businesses serving the full spectrum of music creators.” 

“This transaction will allow us to take the services we offer the independent music community to the next level,” TRACY MADDUX said. “We are excited to continue to build leading platforms that help artists release, promote and monetize their music all around the world.”

AVL’s physical product divisions, DISC MAKERS, BOOKBABY and MERCHLY, will be acquired in a separate transaction by the DISC MAKERS executive team as part of the newly-formed DIY MEDIA GROUP. DISC MAKERS and AVL’s digital distribution businesses will maintain their strategic partnership.

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