Home Back Issues July 2009 Deal Watch: Allegro Music plays for keeps

Deal Watch: Allegro Music plays for keeps

| Print |  Email
Archives - July 2009
Tuesday, June 23, 2009
cds If you think digital downloads have killed the audio CD, you haven’t talked to Rico Micallef, president and chief operating officer of Allegro Music Group.

“The music industry is actually doing very well,” he says. “The traditional products being sold in traditional ways may be having a tough time, but the alternative markets are doing just fine.”

Micallef is talking about the markets that the Portland distributor of music CDs, DVDs and audio books is after: independent bookstores, toy shops and, with its recent acquisition of Music Design, New Age stores.

“These are the places that you don’t normally go to buy your music, where it’s more of an impulse buy,” says Micallef, who bought Allegro with his two brothers back in the late 1980s.

The acquisition of Music Design, a Milwaukee, Wisc.-based distributor of relaxation music and self-help CDs, will give Allegro a lock on the genre, Micallef says. The company employed a similar strategy to sew up the children’s music market when one of its subsidiaries acquired the distribution assets of Rounder Kids in 2007.

Some of Music Design’s backroom operations will be consolidated at Allegro’s Portland headquarters, though sales and other functions will stay in Wisconsin.

Although most of its business involves CDs and DVDs, Allegro does have a solid digital presence as well; customers include iTunes, Rhapsody and eMusic. But while Allegro is likely to continue adding to its digital offerings, Micallef says the company’s focus will remain on its core offerings — CDs, DVDs and audio books — in the genres it knows best, like classical, jazz, blues and world music.

“We’re always looking for content and opportunities that we can take advantage of in the genres we’re in,” he says.

Barring a major acquisition, that means no hip hop from Allegro anytime soon.
List researched by Jon Bell
REAL ESTATE TRANSACTIONS
PRICE BUYER / PARENT (HQ) REAL ESTATE (LOCATION) / SELLER (HQ) ANNOUNCED
$2M Kesey Enterprises (Eugene) Quarter-block parcel (Eugene)/Geiger Investments (Eugene) 5/1
$1.1M 434 Investors (Portland) O'Shea Building (Portland)/Hat Creek Cattle Co. (Portland) 5/29
$890,000 Primo Williams (Portland) 7,200 sq. ft. industrial (Portland)/Anthony Catalan (Portland) 5/12
$850,000 Charles Padot (Newberg) Typres Gardens Apartments (Newberg)/Carol Hilterbrand estate 5/25
$535,600 JR Merit Investments (Vancouver) 46,481 sq. ft. industrial (Vancouver)/Genteel Investments (WA) 5/20
$283,000 Nathan Tolman (Lebanon) 20,500 sq. ft. land (Lebanon)/D&D Lebanon (Lebanon) 5/20
ND Domain Meriwether (Veneta) 54-acre vineyard (Veneta)/Secret House Vineyards (Veneta) 5/20

CAPITAL RAISING
PRICE (TYPE) COMPANY (HQ) / LEADERSHIP INVESTOR (HQ) ANNOUNCED
$250M (surveillance drone contract) Insitu (Bingen, WA)/Steve Silwa U.S. Special Operations Command (FL) 5/22
$50M (chip sale) TriQuint Semiconductor (Hillsboro)/Ralph Quinsey ZTE (China) 5/7
$32M (stimulus light rail funds) TriMet (Portland)/Fred Hansen Federal Transit Administration 5/8
$26M (streetcar order) United Streetcar (Clackamas)/Chandra Brown City of Tucson, AZ 5/27
$20M (broadband funds) Oregon Health Network (Lake Oswego )/Kim Lamb Federal Communications Commission 5/29
$18M (bridge contract) Kodiak Pacific (Tualatin)/Sandra Trainor Federal Highway Commission and ODOT 5/8
$10M (tax credits) Albina Bank (Portland)/Robert McKean U.S. Treasury Dept. 5/27
$9.5M (bridge work contract) Kerr Contractors (Woodburn)/Brent Kerr Oregon Dept. of Transportation 5/4
$8.3M (state and federal transportation funds) Lane Transit District (Eugene) Federal Transit Administration, State of Oregon 5/27
$6.4M (federal disaster relief) Oregon fishing industry Pacific States Marine Fisheries Commission (Portland) 5/1
$5M (highway work contract) Pioneer Construction (Pendleton)/Terry Clarke Federal Highway Commission and ODOT 5/6
$4.8M (storm water system contract) JE Dunn Northwest (Portland)/Frederick Shipman Port of Portland 5/13
$4.6M (highway work contract) Hooker Creek Companies (Bend)/John Fournier Federal Highway Commission and ODOT 5/5
$1M (fencing contract) Town & Country Fence Co. of Oregon (Clackamas)/Dennis Fleck Oregon Dept. of Transportation 5/12
$1M (Willamette Falls locks repair contract) Triad Mechanical (Portland)/Nicholas Scovill U.S. Army Corps of Engineers (Portland) 5/6
$643,000 (road resurfacing contract) LTM (Medford)/Robert Vaughn Dept. of Veterans Affairs (WA) 5/22
$634,000 (truck contract) Gerlinger Carrier (Salem)/Mark Lyman U.S. Navy 5/20
$435,000 (rock wall repair contract) Big River Construction (Astoria)/Michael Sarin Oregon Dept. of Transportation 5/5
$160,000 (support services contract) NH Engineering (Vancouver)/Nick Haluschak U.S. Fish & Wildlife Service (Portland) 5/29
$125,000 (investment prize) CenterSpace Software (Corvallis)/Trevor Misfeldt Willamette Angel Conference 5/20
ND (emergency food supplies contract) Truitt Bros (Salem)/Peter Truitt Stanford University (CA) 5/8
ND (mail order pharmacy contract) Wellpartner (Portland)/Michael Wright Oregon Health Plan 5/19

MERGERS AND ACQUISITIONS
PRICE EXP. CLOSE BUYER / PARENT (HQ) SELLER / PARENT (HQ) ANNOUNCED
$13M Q3 Mentor Graphics (Wilsonville) LogicVision (CA) 5/7
$2M Q2 Northwood Manufacturing (La Grande) Fleetwood Enterprises (La Grande) 5/9
$500,000 Q2 LaCrosse Footwear (Portland) Environmentally Neutral Design (Portland) 5/8
ND Q2 Allegro Media Group (Portland) Music Design/Virgin Records America (NY) 5/21
ND Q3 PacificSource Health Plans (Eugene) Primary Health (ID) 5/27

 

More Articles

Making faces

News
Thursday, February 20, 2014
02.20.14 Thumbnail ModelsBY VIVIAN MCINERNY | OB BLOGGER

As retailers consolidate and newspapers fold, the business of modeling shifts to ad agencies, apparel companies and new media.


Read more...

Spring thaw

News
Thursday, April 17, 2014
Spring ThawBY JASON NORRIS | OB BLOGGER

The “polar vortex” of 2014 seems to have finally thawed and we believe this change in weather will bring more sunshine to the U.S. economy as well.


Read more...

How to help your staff solve their own problems

Contributed Blogs
Friday, March 21, 2014
03.21.14 thumb coxcoffeeTOM COX | OB BLOGGER

During a recent talk to HR Directors, I asked if they saw leaders trying to solve every problem, instead of delegating to and empowering staff. Every head nodded. Every single one.


Read more...

Tech makes the world go round

Contributed Blogs
Thursday, March 20, 2014
03.20.14 thumb internetBY JASON NORRIS | GUEST BLOGGER

I don’t think anyone can (or should) remember what it was like to get things done without the internet. This milestone in technology has certainly benefited brick-and-mortar companies and subsequently launched a new era of businesses.


Read more...

Leader's bookshelf

Contributed Blogs
Friday, March 14, 2014
02.06.14 BooksBY TOM COX | OB BLOGGER

Five books that will make you a better leader.


Read more...

The 2014 List: The Top 34 Medium Companies to Work, For in Oregon

March 2014
Thursday, February 27, 2014

100best14logoWebOur 100 Best Companies project turned 21 this year, so pop open the Champagne. Our latest survey gives us plenty to cheer.

 


Read more...

How to boost web traffic

News
Thursday, April 10, 2014
BY JESSICA RIDGWAY  | OB WEB EDITOR

04.10.14 thumb seo-trafficSEMpdx hosted a workshop this week for entrepreneurs, website developers and others interested in search engine optimization (SEO).  Here are a few tips and tricks aimed at bumping up your search engine rankings.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS