TPG Buys Majority Stake In CAA

Global private-equity firm TPG has agreed to increase its investment in Creative Artists Agency (CAA) to a majority position. TPG has owned 35 percent of the agency since October 2010.

According to a press release, CAA’s management team will extend long-term contracts. Top brass at CAA’s Nashville office includes John Huie, Rod Essig, Darin Murphy, Marc Dennis, and Scott Clayton. Among the numerous Country artists on its roster are Brantley Gilbert, Carrie Underwood, Darius Rucker, Faith Hill, Keith Urban, Kip Moore, Lady Antebellum, Little Big Town, Shania Twain, Tim McGraw and Zac Brown Band.

In addition to representing artists, actors and athletes, CAA is heavily involved in the sports world, and has other initiatives including an investment bank, venture fund, technology start-ups, brand marketing and sponsorships services. CAA advises consumer brands including Coca-Cola, General Motors, Chipotle, Diageo, Farmers Insurance, and IMAX.

TPG’s new majority stake could put CAA on a path to an initial public offering.

The terms of the investment were not disclosed. The transaction is subject to customary closing conditions. UBS and LionTree Advisors served as financial advisor to CAA. Wachtell, Lipton, Rosen & Katz served as legal counsel to CAA. Cleary Gottlieb Steen & Hamilton LLP served as legal counsel to TPG.