CAA has closed its acquisition of fellow mega Hollywood talent agency ICM Partners.
The deal, which Variety has learned is valued at $750 million, giving a pro-forma valuation of $5 billion to the merged agency, was first announced in September 2021. The transaction was delayed due to increased scrutiny in its regulatory approval process.
The official closing of the transaction Tuesday marks a shift in the Hollywood agency landscape that reduces the Big Four agencies to the Big Three, with WME and UTA as CAA’s largest competitors. It is also likely to result in reductions in staff at CAA and ICM Partners — which together total more than 3,200 employees operating in 25 countries — though no details have emerged yet regarding layoff plans.
“Today marks a new chapter in the history of our company, positioning us better than ever to deliver extraordinary opportunities for many of the world’s preeminent artists, athletes, thought leaders, brands, and organizations in entertainment, sports, and culture,” CAA’s co-chairmen Kevin Huvane, Bryan Lourd and Richard Lovett said in a statement announcing the close of the Tuesday. “We are thrilled to welcome our new ICM colleagues to CAA, and look forward to combining their expertise, relationships, and resources with those of our agents and executives around the world. Our diverse range of clients who entertain and inspire large global audiences have never been in more demand, nor have their opportunities been greater. With today’s addition of our new colleagues, the scope of possibilities for helping clients achieve their goals is limitless.”
ICM’s Chris Silbermann and Ted Chervin added: “Combining with the best-in-class agency to build an even greater representation company for our clients and our colleagues is the core strategic reason for this move. We couldn’t be more enthusiastic about our future together, and are energized by the sophisticated, forward-thinking representation we offer clients. This is the ideal next step for our companies.”
Allen & Company LLC served as financial advisor for CAA, and Wachtell, Lipton, Rosen & Katz as legal advisor in the transaction. Lazard served as financial advisor for ICM, with Sheppard Mullin and Davis Polk & Wardwell LLP as legal advisors.