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1988 - Motown Sold To MCA
1988 - Motown Sold To MCA

Berry Gordy sold his ownership of Motown Records on June 28, 1988. The legendary label, home of such acts as the Supremes, Smokey Robinson, Stevie Wonder, Marvin Gaye and Michael Jackson, was sold to MCA and investment banking firm Boston Ventures for $61 million. In a statement to the Daily Variety magazine after the sale, Gordy revealed that he made the deal to bring corporate security to his influential label.

'To insure the perpetuation of Motown and its heritage, I decided to clasp hands with one of the most formidable giants in our business, MCA,'' Gordy told the news source.

The Los Angeles-based MCA had already served as the distributor for all Motown releases and MCA fronted 20 percent of the cash for the deal. According to a report from the New York Times shortly after the deal, MCA also agreed to buy out Boston Venture’s shares in the company “down the road.”