Warner Music Group, a leading music publisher and record label, announced terms for its IPO on Tuesday. In its latest filing, the company added BofA Securities, Citi, and J.P. Morgan as joint bookrunners, as well as 22 co-managers.
The New York, NY-based company plans to raise $1.7 billion by offering 70 million shares (100% insider) at a price range of $23 to $26. At the midpoint of the proposed range, Warner Music Group would command a market value of $12.5 billion.
Warner Music operates primarily through its recorded music business (86% of 1H FY20 revenue) and its music publishing business (14%). Its recorded music business includes record labels Atlantic Records, Warner Records, Elektra Records, and Parlophone Records, and features artists such as Ed Sheeran, Bruno Mars, and Cardi B. Its global music publishing business, Warner Chappell Music, includes songwriters such as Twenty One Pilots, Lizzo, and Katy Perry.
Warner Music Group was founded in 1958 and booked $4.5 billion in revenue for the 12 months ended March 31, 2020. It plans to list on the Nasdaq under the symbol WMG. Morgan Stanley, Credit Suisse, Goldman Sachs, BofA Securities, Citi, and J.P. Morgan are the joint bookrunners on the deal. It is expected to price during the week of June 1, 2020.
