By John Jannarone of PE Edge
Private-equity firm TZP Group has created a new star, investing in two of the industry’s top innovators to form DanceOne, marking the largest institutional dance investment in history while creating the world’s biggest dance holding company.
In the first deal for TZP Capital Partners Fund IV, it will invest in Break The Floor Productions and Star Dance Alliance to create Dance One Holdings, LLC. The combined company will focus on the complementary training and competition segments, hosting more than 500 events annually and serving more than 10,000 dance studios globally.
“We believe strongly in the growth of the dance category and are investing in events like competitions, as well as the creativity, production and tremendous community of studios, dancers, choreographers, instructors and participants from around the world,” said Dan Galpern, Partner at TZP Group.
Following the deal, Star Dance Alliance chief Gary Pate will become CEO of DanceOne, Chris Ganan will become President and Chief Strategy Officer, while renowned director, producer and choreographer Adam Shankman will become Chief Creative Officer.
“These two companies have proven to be world leaders in dance competitions, workshops, on-line dance training, theatrical and video productions. We believe there is tremendous potential for continued elevation of the authentic dance event experience for dancers and studios, professionalization, and systemization, as well as expanding the types of partners with which DanceOne brands engage. We look forward to leveraging Gary’s more than 40 years of experience in the dance community and to partnering with Chris and Adam to supercharge our growth efforts across live events, apparel, media, sponsorship, and new business development channels,” Mr. Galpern said.
TZP Group, which manages $2 billion and focuses on investments in technology, business services, and consumer companies, will deploy investments in several key areas.
First, it will focus on creative and production enhancements for events, along with expansion of digital and content opportunities. Mr. Shankman will lead those efforts in his new role.
The company will also strive to create new commercial opportunities to create value for DanceOne studio partners. That includes a companywide loyalty program featuring exclusive incentives such as first access to events, custom merchandise and travel perks.
DanceOne also plans to develop new platforms for choreographers and members of the dance community. Among such iniatives are the reintroduction of Dance Teacher Summit, the expansion of Star Dance Alliance’s Wild Dance brand, and the launch of Los Angeles-based Kaos, the premier hip-hop experiential dance studio in 2024.