Live Nation Entertainment has officially closed a deal to obtain a controlling interest in C3 Presents, the promoter behind Lollapalooza, Austin City Limits, and several other prominent music festivals.
According to the Austin Business Journal, Live Nation now holds a 51% share in the Austin-based company, which also helps promote and produce some 1,700 concert events across North America. While no details behind the deal were announced, it marks the conclusion of a year-long negotiation cycle and serves as one of Live Nation’s largest acquisitions as it expands into the fledgling market. According to sources for The New York Times, Live Nation estimated C3 to be worth somewhere near $250 million, making the actual ownership stake worth $125 million.
In a statement released this afternoon, C3’s partners wrote, “We are excited to join Live Nation and become a part of their global family, while continuing to grow our festivals within a culture of entrepreneurship that will empower our team to keep improving these festivals and the fan experience.”
The acquisition has already lent Live Nation quite the financial bump. When final negotiations began back in October, Live Nation’s stock rose from $22 a share to $26 a share.
In recent years, Live Nation has purchased several other festival promoters, predominantly working to break into the EDM market by acquiring interests in HARD, Insomniac, and Cream. C3 Presents, meanwhile, caters to a mixture of alternative rock and EDM demographics.
C3 Presents also is behind Lollapalooza’s offshoot festivals in South America, Australia’s Big Day Out Music Festival, and Metallica’s Orion Music + More.