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By Yashasvini Razdan, 4:50 PM ET
KEY POINTS
Talent agency company, Creative Artists Academy (CAA), announced that it would be acquiring ICM Partners, the fourth-largest Hollywood talent agency, for an undisclosed price.
The acquisition is touted to be the largest acquisition in Hollywood’s talent agency business which is currently dominated by four firms -- CAA, William Morris Agency (WME), United Talent Agency, and ICM.
New York Times reported that CAA’s list of clientele includes Tom Hanks, Steven Spielberg, Zendaya, Reese Witherspoon, and Scarlett Johansson, while ICM counts Shonda Rhimes, Samuel L. Jackson, and Pete Davidson among its marquee names.
CAA leaders Bryan Lourd, Kevin Huvane, and Richard Lovett said in a statement, “The strategic combination of CAA and ICM bolsters our collective resources, expertise and relationships to deliver even more opportunities for our world-class clients to build their careers and their brands across multiple disciplines and platforms in an evolving marketplace.
“Our strong financial position enables us to continue to expand and diversify our businesses, with service and representation remaining central to what we do and who we are,” he added.
ICM’s chief executive, Chris Silbermann, will join the CAA board upon completion of the agreement.
If approved, the deal, which is due to close later this year, will strengthen CAA’s foothold in the television, film, music, and the entire entertainment industry.
The entertainment industry has seen a major turn in the consumption of content for entertainment due to the rise of streaming services in the pandemic-induced lockdown. Gone are the days when agent commissions were tied to payouts related to global box-office grosses. With almost negligible live music shows in nearly 21 months, artists and their agents are scrambling to generate revenue.
The latest deal comes at a time when business models are shifting. The last time a deal of this magnitude was struck was when WME merged with Endeavor in 2009.
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