Universal Music Acquires Equity Interest in Stationhead

Universal Music Group (UMG) has secured a minority stake in superfan platform Stationhead. The announcement follows Stationhead’s merging with online event platform Mellomanic, with the companies now operating under the Stationhead name.

Why it matters:

• The investment is part of UMG’s superfan monetization strategy.

• Stationhead allows artists to host livestream listening sessions with fans, while Mellomanic powers real-time listening and video-streaming events and delivers labels the audience data and engagement tools.

• The merged companies will offer a single platform that combines “e-commerce capabilities, fan data insights, and revenue-generating tools,” as per Music Business Worldwide.

• As part of its investment, UMG will use Stationhead’s technology.

• Chicago-based private equity firm Sterling Partners has also invested.

Leadership structure:

• As part of the merger, David Rappaport becomes CEO of Stationhead.

• Rappaport was the former head of Mellomanic and, prior, the Chief Operating Officer of Global Touring at AEG Presents.

• Stationhead Co-Founder Ryan Star becomes Chief Creative Officer, while Sterling Partners Co-Founder and Chairman Steven Taslitz is Stationhead’s Chairman.

What they said:

• Michael Nash, Executive Vice President and Chief Digital Officer at UMG: “At Universal Music Group, we see tremendous potential in technology innovation that brings artists and their biggest fans more closely together, and Stationhead’s independent platform exemplifies that opportunity. We’re pleased to enter into a commercial agreement and make a strategic investment alongside Sterling Partners as these talented entrepreneurs build a platform that fosters creative new ways for artists to connect with audiences and activate social engagement. Collaborative, artist-centric, super fan-focused innovation like this is essential to the future of our industry.”