Warner Music Group takes a stake in leading Hungarian record label Magneoton, with a partnership that sees the renewal of licensing agreements and a new distribution deal.
Warner Music Group (WMG) has acquired a stake in Magneoton, the leading Hungarian record label. The partnership will also see the companies continue their longstanding licensing agreement while adding a new distribution deal with strategic plans to develop a joint local roster.
WMG and Magneoton have had a relationship dating back 30 years. Magneoton was founded by former artist László Pásztor and artist manager István Joós and acquired by WMG in 1993, and run as Warner Music Hungary from 1993 to 2004. A management buyout saw Magneoton separate from WMG and operate as a local independent label, which went on to become Warner Music’s licensee from 2010.
Magneoton has grown its business to include acting as a management company, concert organizer, and digital music agency. It has worked with local superstars like Majka, Curtis, DR BRS, and Lotfi Begi, as well as a new generation of talent, including two of the most-watched rising stars, bongor and Sisi.
“This latest phase in our relationship with Magneoton marks a significant return to Hungary by Warner Music,” says Izabela Ciszek-Podziemska, General Manager, Warner Music South East Europe. “While Magneoton will continue to act as a licensee for our international repertoire, we’ll now also be working together to discover great Hungarian artists and take their music to the world.”
“Magneoton and Warner Music have a rich history of working together and producing incredible results for our acts,” adds Noemi Virag Csontos, General Manager of Magneoton. “This deal highlights our commitment to breaking Hungarian artists internationally while giving local fans unparalleled access to music from some of the world’s biggest stars.”
The first release under the new agreement was “Heartbreak,” a collaboration between Lotfi Begi and Cecilia Gault. An upcoming track, “Heaven,” by Stadiumx, Sam Martin, and Azahriah, is dropping on Friday.
Stadiumx, one of the most-streamed Hungarian artists ever, has delivered hits with EDM stars like Dave Guetta, Nicky Romero, and Bob Sinclar. Azahriah is a prominent local artist making waves in the Hungarian music scene, having recently landed eight tracks in the local Top 10 Spotify chart.
This new deal is Warner Music’s latest move in Eastern Europe, where it has grown its presence substantially by appointing Izabela Ciszek-Podziemska as General Manager of Warner Music South East Europe, the investment in Serbian record label Mascom Records and Polish promoter Big Idea, the partnership with Poland’s Step Records, the acquisition of Slovakia’s Opus Records, and a deal with leading Czech Republic hip-hop label Mike Roft.