Kidz Bop is back under a majority owner for the first time since 2006 after Razor & Tie brokered a deal to buy back the second half of its pop-music-for-children brand.
Razor & Tie sold half the brand off to Boston-based private equity firm ABRY Partners during 2006. ABRY announced earlier during 2014 that it was looking to schlep off its ownership in the brand although it was far from obvious that Razor & Tie would be the one to buy it. ABRY reportedly tried to register the attention of major labels as well as Disney.
Neither Razor nor ABRY offered information on how much the final deal was worth, but Billboard reports that the latter had been advertising the valuation of the brand at $16-19 million. It's not clear whether that number applies strictly to the firm's holdings or to the Kidz Bop brand as a whole. Kidz Bop brings in $12 million in yearly revenue, resulting in around $2.8 million in earnings.
Razor & Tie issued a statement on the deal, although wouldn't comment on the money that changed hands.
"We are very excited to regain complete ownership of Kidz Bop," said Cliff Chenfeld and Craig Balsam, the company's owners. "Razor & Tie and Kidz Bop are energized and ready to move forward by doing what we have always done -- diversify and grow."
Kidz Bop has sold nearly 15 million albums and more than 4 million downloads since its founding in 2001. The brand also operates a yearly concert tour, a Sirius XM radio program as well as having a video game under its name.
