When people wonder what Utopia Music does, distribution is already one of the first words that comes to mind. The company has already acquired a pair of distributors in the UK in the form of Absolute Label Services and Proper Music Group.
Now it owns a third: Cinram Novum. It’s another British company that handles warehouse, fulfilment, distribution and business support for clients including UMG and Sony Music. However, the company had been experiencing tough times: the acquisition is actually a case of Utopia swooping in to rescue Cinram Novum from the threat of insolvency, with a “pre-pack administration deal” to buy the business and certain assets.
“The loss of Cinram Novum would have been detrimental to the entire UK Music Industry, resulting in financial losses and disruption for labels, retailers, artists and their fans,” said Utopia COO Roberto Neri.
So, while Cinram Novum slots in to Utopia’s growing distribution business, the deal is also a marker of how Utopia would like to be seen within the wider industry.
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