Music promoter awaits investor takeover

Music promoter Mean Fiddler today looked set to be taken over by investors including the world’s largest concert promoter.

The company, which owns a string of UK music venues such as London’s Astoria, the Reading rock festival and 39% of the Glastonbury festival, received an offer valuing it at around £37.9m (€55.2m).

US giant Clear Channel Entertainment and Irish firm MCD Productions revealed last month they were planing a takeover. Their investment vehicle Hamsard said tonight that the board of Mean Fiddler was recommending its offer.

Hamsard, which already owns nearly a quarter of Mean Fiddler’s shares, said the company was “highly complementary” to its existing business.

It said there were a number of cost savings and revenue drivers that would boost the group’s profitability in the future.

The group said: “Following the acquisition, the Mean Fiddler group will continue to pursue a strategy of delivering world-class event promotion and event management both through its festivals and music businesses in the UK.”

The planned acquisition, which is subject to shareholder approval, will see founder Vince Power pocket around £13m (€19m) for his 35% stake in the company he set up more than 20 years ago.

Mean Fiddler’s annual sales top £44m (€64.1m) a year and stars who appeared at its recent shows included pop princess Britney Spears and R’n’B icon Usher.

Clear Channel has significant assets in the UK where it owns, operates or exclusively books 28 venues including the Grand Opera House in York and Birmingham’s Alexandra Theatre. It also has radio broadcasting and outdoor advertising divisions.

MCD is headed by festival promoter Denis Desmond and has steadily built up its stake in the firm to become its second-biggest shareholder with 24.3%.

Hamsard said it had received the backing of investors representing around 80.6% of Mean Fiddler’s shares.

Shares had closed at 55.25p before tonight’s announcement.