Innovative Artists has sold a minority stake in the company to Los Angeles-based private equity firm Coral Tree Partners.
As part of the deal, the agency has rebranded all of its existing divisions under a singular entity as Innovative Artists Entertainment. The company will continue to be led by Innovative founder and CEO Scott Harris and his management team.
Per the companies, “the investment from Coral Tree will help accelerate the company’s expansion by enhancing the resources to support its agents and a growing roster of talent.”
Financial aspects of the deal were not disclosed, but Variety has confirmed Coral Tree’s minority stake in Innovative Artists is a “significant investment.”
Founded in 1982 by Harris and Howard Goldberg before being rebranded as Innovative Artists in 1992, the bi-coastal agency serves clients across departments including talent, literary, production, unscripted, comedy, appearance, broadcast, voiceover, commercial and endorsement areas.
Coral Tree Partners describes itself as a private equity firm “focused on investing in lower middle-market companies within the media, entertainment and communication sectors,” that partners with management teams to “drive growth and long-term value creation by leveraging its deep industry expertise and operational capabilities.”
Innovative Artists Entertainment was advised in the deal by Houlihan Lokey and Sheppard Mullin. Coral Tree was advised by Kirkland & Ellis.
“I have been proud to lead our agency through these decades as a competitive, independent talent agency,” Harris said in a statement Wednesday. “We have always navigated the ever-evolving entertainment business, whether against the backdrop of a pandemic, multiple work stoppages, or the technological and creative progress of our industry. Our partnership with Will and the team at Coral Tree represents the next step in enabling us to continue to grow with maximum momentum and invigoration, while continuing to focus on our core mission of providing exceptional client service.”
Coral Tree partner Will Wynperle added: “We are grateful to be entering into a true strategic relationship with Innovative at the agency’s exciting growth stage. We have long admired Innovative’s unwavering commitment to client representation and are grateful to partner closely with Scott and the agency’s senior management team. Together, we look forward to driving growth while keeping the focus on client representation first and foremost with an eye on 360-degree client service. At this time of unprecedented demand for premium content, Innovative is uniquely poised for long-term success.”
