$1bn-valued Create Music Group acquires catalog from Pack Records as companies form new JV

Following a $165-million investment round last year that valued the company at $1 billion, Create Music Group (CMG) has been on something of an acquisitive streak.

Last fall, it acquired Manchester, UK-headquartered record label and publisher Ostereo, following that up swiftly with a 50% stake in London-headquartered label/publisher Enhanced.

Now, the Los Angeles-headquartered CMG is setting its sights a little closer to home, announcing a strategic catalog acquisition and joint venture with Pack Records of New York and New Orleans.

The new partnership expands on an existing relationship between the two music companies, which consisted of a publishing JV.

According to Create, under the new deal, Pack Records (stylized “Pack.”) and its artists will gain access to CMG’s proprietary technology, global distribution, data-driven marketing insights, and monetization tools, which the companies say will provide “new growth opportunities while preserving [CMG artists’] creative independence.”

“Our focus remains on developing audiences for our labels and supporting music entrepreneurs who are shaping the future of the industry.”

Jonathan Strauss, Create Music Group

“Pack Records is a perfect addition to our growing family of independent labels, and we’re excited to provide them with the tools, infrastructure, and global reach to take their vision to the next level,” CMG Co-Founder and CEO Jonathan Strauss said in a statement on Monday (February 24).

“Our focus remains on developing audiences for our labels and supporting music entrepreneurs who are shaping the future of the industry.”

Founded in 2020 by Sky McElroy (previously of A2IM and UnitedMasters), Jett Wells (formerly of Believe), and Gavin Chops (ex-FUGA, Beatport), Pack. is an indie record label, publisher, and artist partnership company dedicated to “developing distinct creative voices and genre-defying artists.”

Its roster includes artists, producers, and songwriters such as aldn, CONNIE, Blood Cultures, daine, Dava, Godly the Ruler, Internet Girl, Kurtis Wells, Lauren Sanderson, Maya Randle, OTR, and SIMONA.

It prides itself on “a catalog of recordings and publishing rights at the heart of internet and gaming culture viral moments” such as aldn’s icantbelieveiletyougetaway, Ezekiel’s help_urself, Godford’s Downtown, and Internet Girl’s PULL UP, as well as the CONNIE-produced DIVE IN! by JELEEL! and Stupid by Lexa Gates.

Pack.’s roster has partnered on global campaigns with brands such as ADIDAS, Netflix, Sonos, Victoria’s Secret, Major League Soccer, Lipton, Hulu, Paramount+, Renault, FC Barcelona, and Puma, among others.

“Joining the CMG network fully across both Records and Publishing opens up new opportunities for our artists, their teams, and the whole Pack.”

Sky McElroy, Pack.

“This partnership has been what feels like a long time in the making. Joining the CMG network fully across both Records and Publishing opens up new opportunities for our artists, their teams, and the whole Pack,” Co-Founder and CEO McElroy said.

“Create’s resources and expertise allow us the opportunity and freedom to continue investing into helping our artists do what they, and we, love most: Make what they love, find the communities and real fans that love them no matter where they are, and, ultimately, build real, sustainable careers doing what they love most.

“We appreciate Jonathan, [co-founder and COO] Alex Williams, Eric [Nguyen], Kyle Bartelman, and the whole CMG family for their commitment to empowering independent artists and labels like Pack.”

Eric Nguyen, Senior Vice President, Global Corporate Development and M&A at Create Music Group, added: “Paired with Jett’s experience and knowledge in label management and artist services and Gavin’s taste and perspective as an artist himself, Pack. has a solid foundation for growth. With CMG’s network and infrastructure behind them, Pack. are positioned to reach even greater heights.”

“Create not only gives Pack. a new jolt of energy to expand its record roster but also gives us the unique opportunity to further develop our publishing roster of exciting producers and writers,” Pack. Co-Founder and COO Jett Wells said.

“Thanks to Create, Pack. can grow both arms at an exciting rate.”

Since its founding in 2015, CMG has grown into a label, distribution company and entertainment network that clocks 30 billion music streams monthly and counts more than 400 employees worldwide.

In 2020, it placed second on the Inc 5000 Fastest Growth Companies in America list.Music Business Worldwide