After careful consideration, Paradigm chairman and CEO Sam Gores, respectfully declined to sell his agency to UTA. UTA had recently offered around $250 million to buy Paradigm but in the end, both agencies would stay solo. At the moment, both companies are better off focusing on their specialties to best represent their clients. Then again, if the two powerhouse corporations did merge, they would have taken even more control over the music and film/tv industry.
“Let’s all get back to work and continue to do what we do so well. For the Art For the Artist.”
UTA, which focuses more on the film & television side of entertainment, represents many of your favorite celebrities including Kevin Hart and Chris Pratt. On the other hand, Paradigm manages some of the top musicians including Coldplay, Ed Sheehan, and Major Lazer. Sam Gores of Paradigm, explained that a merger of the agencies may have worked but Paradigm’s unique qualities leaves them more powerful on their own.
In many ways, merging two incredibly large corporations into one, would make communication among clients and employees more difficult. Gores experienced this firsthand while considering the deal with UTA. Overall, he listed this as one of the big negatives of merging together, stating “I always make decisions regarding the future of the business by considering what is ultimately in the best interest of our agency as a whole and all of our clients.” Gores continues to stand up for his clients and employees, even with a huge amount of money on the table.
UTA CEO Jeremy Zimmer, respects Gores’ decision stating, “We admire Sam and the business he and his colleagues have built”. While disappointed a deal wasn’t made, Zimmer wished Paradigm good fortune going forward. Nevertheless, even while this deal failed to merge the two agencies, it doesn’t mean they’re done for good. For all we know, the two could strike a more appealing deal next year.
CEO Sam Gores’ Official Statement
“I want to address the events of the past week and the press reports surrounding a potential transaction between Paradigm and UTA. The fact is that our industry is in an era of significant change and also unprecedented opportunity.
The complexion of what the agency business will look like has led all of the major agencies including ourselves to look at ways to strengthen their platforms and provide more resources to clients.
UTA made an offer to acquire Paradigm that would have represented one of the largest talent agency transactions in the history of our business.
The offer was made for both the Talent/Literary and Music divisions. This offer is a tribute to the work that all of us have done and the quality of the asset we have created together.
After careful consideration and in consultation with leaders of both the Music and Talent/Literary executive groups, I have made the decision to shut down discussions and not make this deal.
There are reasons why a combination like this would have made sense for both agencies, but in the end, what is more compelling for us is how unique the culture at Paradigm is and how powerful our independent path can be.
For obvious reasons, it is not possible to communicate with the entire company when a conversation like this occurs. Those who know me and the history of how we have built Paradigm know that I always make decisions regarding the future of the business by considering what is ultimately in the best interest of our agency as a whole and all of our clients.
The past week has given us the opportunity to make us stronger both internally and externally. We should be proud of what we have built and be proud of our courage to bet on ourselves.
Let’s all get back to work and continue to do what we do so well. For the Art For the Artist.”
I want to address the events of the past week and the press reports surrounding a potential transaction between Paradigm and UTA.
The fact is that our industry is in an era of significant change and also unprecedented opportunity.
The complexion of what the agency business will look like has led all of the major agencies including ourselves to look at ways to strengthen their platforms and provide more resources to clients.
UTA made an offer to acquire Paradigm that would have represented one of the largest talent agency transactions in the history of our business.
The offer was made for both the Talent/Literary and Music divisions. This offer is a tribute to the work that all of us have done and the quality of the asset we have created together.
After careful consideration and in consultation with leaders of both the Music and Talent/Literary executive groups, I have made the decision to shut down discussions and not make this deal.
There are reasons why a combination like this would have made sense for both agencies, but in the end, what is more compelling for us is how unique the culture at Paradigm is and how powerful our independent path can be.
For obvious reasons, it is not possible to communicate with the entire company when a conversation like this occurs. Those who know me and the history of how we have built Paradigm know that I always make decisions regarding the future of the business by considering what is ultimately in the best interest of our agency as a whole and all of our clients.
The past week has given us the opportunity to make us stronger both internally and externally. We should be proud of what we have built and be proud of our courage to bet on ourselves.
Let’s all get back to work and continue to do what we do so well.
For the Art For the Artist.
