According to Bloomberg, the owner of Kering is close to acquiring CAA, Hollywood’s largest talent agency. While in the short term, the historic actors’ and screenwriters’ strike will cast a pall over this business, the agency’s portfolio of artists and sportsmen suggests interesting synergies with the luxury Houses.
François-Henri Pinault loves the stars, as demonstrated by his marriage to actress Salma Hayek.
And he likes to invest.
The rumor that had been circulating for a few weeks has now been confirmed by Bloomberg: the businessman at the head of Kering is said to be on the verge of buying Creative Artists Agency (CAA), Hollywood’s mega-talent agency. CAA’s portfolio includes such celebrities as actors Georges Clooney, Brad Pitt and Natalie Portman, singers Justin Bieber and Britney Spears, director Steven Spielberg and athletes such as basketball player Chris Paul. And, not surprisingly, Salma Hayek is also one of the agency’s clients.
Majority shareholding
The information has not been officially confirmed, but the seriousness of the Bloomberg agency means that it can be considered reliable.
François-Henri Pinault would take over the majority stake held by private equity group TPG Inc.
The minority shares held by the Chinese company CMC Capital could also be sold to the Singapore government’s investment company, Temasek Holdings PTE.
Founded in 1975 by five partners, Michael Ovitz, Michael S. Rosenfeld, Ronald Meyer, Rowland Perkins and William Haber, who had previously worked for an agency, CAA quickly became a star in the firmament of talent agencies.
A broader scope
Initially focusing on film actors, CAA expanded its scope to include theater actors, and then sports, with NBA (basketball), NFL (soccer) and NHL (field hockey) champions.
In 2010, following the evolution of the cinema business model with the rise of digital technology, CAA, forced to diversify in order to survive (via concerts, publishing, etc.), opened up its capital to the private equity firm TPG Capital.
In addition to its Los Angeles office, CAA has also planted flags in the USA (New York, Chicago, Nashville), Canada (Calgary), Europe (London, Munich, Stockholm) and Asia (Mumbai, Beijing).
Historic strike
Admittedly, in the midst of a historic strike by Hollywood screenwriters and actors, who are up in arms against the spectre of artificial intelligence, the timing might seem ill-chosen…
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Featured photo: CAA
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