Group Black, Co-Founded By Richelieu Dennis, Places $400M Bid To Acquire Vice Media

Group Black, co-founded by technology entrepreneur Travis Montaque and Richelieu Dennis, Shea Moisture hair care company and Essence magazine owner, is expanding Black media ownership. The investment firm, which strives to create a sustainable and more equitable media ecosystem, has eyes on two megadeals – BET and Vice Media acquisition.

The media collective accelerates its approach to enhance the face of Black media via a two-pronged system. The first part of the agenda is building a network of Group Black members, brands, and creators, while the second focuses on Group Black Ventures. Through the latter, the company seeks to pump in more capital and expertise into building Black-owned media properties and future Black-owned media brands.

Group Black’s $400M Bid on Vice Media

Vice Media, which was on the market before, is restarting its sale process after previously interested bidders backed out at the initial price tag. The media company, worth $5.7 billion in 2017, now seeks a valuation of at least $1 billion to $1.5 billion. However, the media company will likely fetch a price below $1 billion. Although Vice was initially open to only selling some of its assets, the company now seeks to sell itself entirely.

Group Black investment firm is taking advantage of the lower price tag by placing a $400 million bid to acquire Vice. Other previously interested parties include Disney, which sought to purchase the embattled company at $3.5 billion in 2016. However, the entertainment company balked, and Vice has not been any better since then.

Dennis and his partners have been interested in Vice for months as an opportunity to expand and transform the media ownership landscape. With over 150 Black-owned media companies under Group Black’s belt, Vice could soon be the newest addition. Group Black is actively shopping with the help of J.P. Morgan and Lazard on the Vice offer.

Group Black in the Race for BET

The New York Times reports Group Black has joined the race for another significant acquisition of BET Media Group.

The investment company is up against prominent figures and business moguls in the entertainment industry, including Tyler Perry, Diddy, and Byron Allen. Although each shows a deep interest, the deal has yet to get past the talking stage as the current owner, Paramount, could withdraw the intention to sell. The company has not issued any comments on available reports.

Nevertheless, Group Black is moving fast to prepare its team. The New York Times reports the investment company is working with CVC Capital Partners to create a bid.

The tight race for BET is a significant milestone for Black ownership as It means more Black people are interested in a seat at the table. The interest is motivated by the widespread conversations around the colossal equity gap and lack of Black ownership, especially in media.

Over the years, there has been a growing interest in creating a robust infrastructure supporting the Black community’s independence. As we wait on the direction, the market will take over the next couple of months, and having more high-profile Black business people interested could raise the numbers of Black ownership in media.