United Talent Agency is acquiring a stake in New York investment bank AGM Partners, as the talent agency seeks other business opportunities for growth beyond client representation. Financial terms of the investment were not disclosed.
The deal, termed as a “strategic alliance” between UTA and AGM, will allow UTA and its clients to receive guidance from AGM on deals. AGM, led by owner Alan Mnuchin, is a boutique investment bank that offers financial advisory services. As part of the deal, UTA will also be able to use AGM for principal investing opportunities to broaden the agency’s investment capabilities.
UTA is a talent and literary agency with offices in Los Angeles, New York, Miami, Nashville, Toronto, London and Malmo, Sweden. The buyer represents a full slate of clients across the entertainment and media sector, such as: Emmy award winner Uzo Aduba, BET humanitarian award winner Jesse Williams, Dr. Phil, Sofia Vergara, Ta-Nehisi Coates, Chris Tucker, DJ Khaled and Kanye West. In 2015, UTA acquired The Agency Group to form a music touring and representation practice now called UTA Music. These acquisitions come as the agency looks to rely less on traditional 10 percent cuts on their clients’ work.
Deals for entertainment and media businesses are striking hot lately. Recent deals include: movie studio MGM Holdings Inc.’s discussions to potentially acquire movie channel Epix for more than $1 billion; Kohlberg & Co. LLC’s acquisition of Hollywood research firm MarketCast LLC; and AMC Entertainment Holdings Inc.'s (NYSE: AMC), operating as AMC Theatres, purchase of Nordic Cinema Group for 68 movie theaters.