Super D Buys Alliance Entertainment

Super D Independent Distribution has purchased Alliance Entertainment, and with the acquisition will now become the second largest music wholesaler in the country, with revenues of around $920 million, according to Billboard.com. The combined company will have music sales of about $450 million and a market share of 6.64 percent, putting it in the fourth spot of top music accounts just behind ITunes, Anderson Merchandisers, and Amazon.
The deal closed yesterday and though terms were not disclosed, it is estimated that Super D paid in the range of $85-125 million for the deal. The remainder of the companies’ combined business after music sales, around $470 million, comes mostly from DVD sales and a small amount of accessories. With this merger and Anderson Merchandisers acting essentially as a rack-jobber, Baker & Taylor becomes the lone remaining large competitor in both the one-stop store and Internet CD fulfillment space.

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Lorie Hollabaugh

Hollabaugh, a staff writer at MusicRow magazine, has over 20 years of music business experience and has written for publications including American Profile, CMA Close Up, Nashville Arts And Entertainment, The Boot and Country Weekly. She has a Broadcast Journalism and Speech Communication degree from Texas Christian University, (go Horned Frogs), and welcomes your feedback or story ideas at lhollabaugh@musicrow.com.

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