Rigeto Unternehmerkapital has acquired a majority stake in the Beat Group, which specializes in digital and physical distribution of music and books, aiming to accelerate its growth in a rapidly evolving industry.

Target Company Overview

The Beat Group, consisting of Dance All Day Musicvertriebs GmbH (DAD) and Nova MD GmbH (NMD), has been acquired by a majority investor group advised by Rigeto Unternehmerkapital. DAD specializes in the digital distribution of music, eBooks, and audiobooks via its proprietary cloud-based platform, 'feiyr'. As one of Europe’s leading digital distributors, feiyr provides approximately 100,000 artists and authors with access to roughly 1 million titles across over 100 streaming platforms, including Spotify, YouTube, Apple Music, and Amazon. The company's primary focus is on independent artists, catering to a 'long-tail' market.

NMD supports authors specializing in printed books by offering not only listings and access to sales channels (wholesale, online, and brick-and-mortar) but also services such as logistics and digital & social media marketing. NMD is a pioneer in the market, particularly for self-published authors, and has a noteworthy roster that includes several Spiegel bestsellers.

Industry Overview in Germany

The digital music distribution industry is witnessing significant changes, primarily driven by the rise of streaming services, which are increasingly supplanting trad