LOS ANGELES (CelebrityAccess) — As the concert industry spins back up from the COVID-19 pause, Live Nation Entertainment announced plans to resume its acquisition of the Latin American concert giant OCESA.
The deal will see Live Nation acquire a 51% interest in OCESA from the live entertainment, theme park and venue management company Corporacion Interamericana de Entretenimiento and broadcaster Grupo Televisa.
OCESA, which owns Ticketmaster Mexico, promotes more than 3,100 events annually in Mexico and Colombia, including concerts by major artists such as Coldplay, Paul McCartney, and U2 as well as some of the largest festivals in Latin America like Corona Capital, Pal Norte, and EDC Mexico.
OCESA also offers ticketing, sponsorship, food & beverage, merchandise services, as well as venue management with a portfolio that includes 13 of Mexico’s most prominent performance spaces.
As part of the transaction, Live Nation also acquired a stake 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 company said.
Following the acquisition, Soberón Kuri will serve as CEO and sit on the board of the newly-formed joint venture. Live Nation President & CEO Rapino will become Chairman of the venture’s board of directors.
“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, Live Nation Entertainment. “Alex has built a remarkable company and as we continue to build on the return to live, OCESA will play a pivotal role in putting together many incredible shows in Mexico and the rest of Latin America.”
“We are extremely proud to finally join Live Nation,” said Alejandro Soberón Kuri, President and CEO of CIE. “This is a natural evolution of our long-standing relationship and it gives us a unique opportunity to continue OCESA´s 30-year contribution to the development of the Mexican live entertainment industry. Additionally, it will help us foster CIE´s commitment to the promotion of Mexican artistic talent abroad.”
Live Nation’s plans to acquire OCESA was first announced in 2019 but paused the deal in the early days of the pandemic.
Live Nation said in a press release the aggregate purchase price the deal would be about $444 million and is exploring financing options, including the issuance of equity securities subject to market conditions.
The deal is now expected to close by late 2021 or early 2022 and will be subject to regulatory approval.