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TodayInMusic: Live Nation snaps up rest of Front Line

Lots of medium-sized developments at Live Nation Entertainment today. 

Firstly, the world’s largest concert promoter and leading ticketing company has taken full control of Front Line Management after spending $116.2 milion to buy the remaining stake it did not already own.

That stake was held by Live Nation’s executive chairman Irving Azoff and Madison Square Garden. It means Azoff has an increased position in the company, as does MSG. Front Line was founded by Azoff and manages over 250 artists including The Eagles, Christina Aguilera and Neil Diamond.

Other important changes at Live Nation include interim non-executive chairman John Malone stepping down from the board. You might recall he became interim chair after fellow media mogul Barry Diller stepped down as chairman last fall after a boardroom power struggle.

 Malone, who is chairman of Liberty Media, is effectively being replaced by Liberty Media CEO Greg Maffei, who has also been named head of the Live Nation’s newly-formed executive committee.

Meanwhile, Liberty Media has increased its stake in the business and made a commitment to buy more shares subject to shareholder approval.

And Azoff is now taking over as chairman of the Live Nation board while he continues to run Front Line.

Live Nation and Ticketmaster: “Don’t stop Believing”

Live Nation and Ticketmaster might have plenty of people out there who are not pleased with the idea of the two companies coming together but they have received support from several superstars in the run-up to a U.S. anti-trust hearing in Washington DC on Tuesday.

Names like Seal, Shakira, Journey, Van Halen and Billy Corgan (The Smashing Pumpkins) have all offered support to a merger some legislators, smaller rivals and fan groups worry will put too much power over the U.S. and global live music industry in the hands of just one company.

Some of the superstars have long-running relationships with Live Nation’s concert promotion business or are clients of Front Line Management, the artist management firm owned by Ticketmaster. Front Line has more than 200 acts under its wing giving it plenty of leverage in dealing with many promoters, venues and even record labels.

Eddie Van Halen, of 80s rockers Van Halen, wrote in a letter to the anti-trust committee seen by Reuters that the merger could help up-and-coming musicians like his 17-year old son Wolfgang (pictured together}) who joined the band as a bassist a couple of years ago:

There are so many problems facing the music industry today. Van Halen suceedeed based on our record sales and the many tours that we did to increase our record sales. But that business model just doesn’t work anymore. Today, the majority of artists earn their living from playipng live. What my son — and any future band he plays in — needs are new and innovative approaches to the problems facing the live entertainment industry. And I believe that the merger of Ticketmaster/Live Nation is one of those solutions.

Pop act Journey, probably best known for their anthem “Don’t Stop Believing“, were also supportive of the deal:

The music industry has changed dramatically in the last several years. As technology changes the way people get access to their music, one thing stands true — the live show. And the live show has become an even more important jumping off point to maintain the relationship between artists and our fans. The proposed merger of Live Nation and Ticketmaster Entertainment will provide artists at all levels of their careers with the opportunity to leverage a broader universe of venues and to expand their ability to reach current as well as new fans.