After more than 80 years operating, in effect, as a not-for-profit organization, BMI has decided to transform itself into a for-profit commercial enterprise.
, “Growth requires investment, not just maintenance… This new [commercial] model will grow at a faster rate than BMI has grown historically.”collections by 15.6% to $1.573 billion and distributions were up 10.2% to $1.471 billion from the prior year totals of $1.361 billion and 1.335 billion, respectively.
In order to accomplish the transformation to a commercial enterprise, BMI will require investments to upgrade technology and adopt new ones; and enhance and expand current services and products while also adding new services and product capabilities. Those efforts may mean partnering with or buying other companies, O’Neill said. While such moves will come with a cost, O’Neill says “the beauty is that BMI has no debt so we will be able to use leverage to finance” BMI’s planned growth initiatives.
On the other hand, if BMI, which is said to carry a more than $1 billion valuation, had been sold as a result of the earlier Goldman Sachs’ process — or if the PRO is eventually sold — the radio owners would be the beneficiary of that payment.As to what these new planned initiatives could be, O’Neill was vague except to say that BMI wouldn’t be branching into mechanical licensing but may pursue growth opportunities outside the U.S.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Exclusive CFO Insights From the 2022 CEO SurveyGrowth, digital transformation, inflation and corporate culture rank high on your peer CFOs’ agendas for the year ahead 💡 Get access to more exclusive CFO insights from the 2022 Gartner CEO survey 👉 GartnerFinance
Read more »
Portland Thorns, Timbers owner Merritt Paulson steps down as CEO amid Yates report backlashFollowing allegations of sexual assault against ex-Portland Thorns coach Paul Rile, Thorns and Timbers owner Merritt Paulson announced his departure as CEO of both soccer teams on Tuesday.
Read more »
CEO pay spotlight leaves workers in the shadeNew SEC rules mandating more detail on executive pay will burden companies without much helping investors. Yet there’s still too little transparency in how companies pay the rank and file. Investors already see what Walmart pays its CEO, but not his 2.3 mln colleagues.
Read more »
Hallmark University CEO leads expansion into new campus on West SideFounded in 1969 as an aeronautics school, Hallmark University is celebrating the grand...
Read more »
Julie Greenwald Named Chairman/CEO of Atlantic Music GroupGreenwald will continue to run Atlantic Records alongside Craig Kallman.
Read more »
Brooklyn woman becomes first Latina CEO of children's entertainment company, EncantosA Brooklyn woman became the first Latina CEO of a children's entertainment company, and now she is sharing her advice for aspiring entrepreneurs. ZinniaDee_TV has her story this HispanicHeritageMonth
Read more »