Warner Music Buys Stake In Saudi Record Label Rotana Music
The record label giant Warner Music Group (WMG) has purchased a stake in Saudi Arabian music label Rotana Music, which is owned by the billionaire businessman Alwaleed Bin Talal Al Saud as part of his entertainment company Rotana Media Group. Rotana is known to be the largest entertainment company in the Arab World and was acquired by its Saudi business tycoon owner back in 2003.
The exact stake that Warner Music has purchased in Rotana isn’t disclosed along with the financial details of the deal. The deal is targeted at expanding Warner Music’s presence in the Middle East and North African region, where Rotana has a handful of famous artists signed.
Rotana Music has stars under its roster such as Mohamad Abdo of Saudi Arabia and Amr Diab of Egypt. The music label is headquartered in Riyadh, Saudi Arabia, and has other branches in Jeddah, Dubai, Kuwait City, Beirut, and Cairo.
Warner Music Group officially launched a Middle East division in 2018, covering 17 markets across the Middle East and then North Africa under that division. With its purchase of a stake in Rotana Music, it’s obvious that Warner Music is doubling down on its entry into the Middle East.
Warner Music buying into Rotana Music represents one of the landmark entertainment deals and broader business deals to emerge from the Middle East this year.
Update: According to Bloomberg, Warner purchased a minority stake in Rotana Music in a deal that valued the Saudi music label at $200 million.