New Mountain Capital has closed its acquisition of BMI and while the price has not been disclosed, the deal will eventually lead to a $100 million payout from the proceeds to affiliates — songwriters and publishers — of the performance rights organization.

“Our partnership with New Mountain charts an incredibly exciting new course for BMI and our songwriters, composers and publishers,” BMI president and CEO Mike O’Neill said in a statement. “New Mountain shares our vision to build value for our affiliates and invest in their future success. With their support, advanced level of innovation and resources, we are now in the best possible position to accelerate our growth plan and explore new opportunities to benefit our creative community.”

O’Neill will remain at the helm under the new ownership.

The $100 million allocation is expected to be made this spring, the company said. While not a distribution of royalties, the allocation will be in keeping with BMI’s distribution methodologies, which are based on performance levels over a set period of time. 

New Mountain Capital is a New York-based investment firm with $45 billion in assets under management.

“We are thrilled to officially begin our partnership with BMI,” New Mountain managing director Pete Masucci said. “We believe in BMI’s mission and the music creators they represent, and we are looking forward to helping BMI build on their momentum to deliver maximum value to their affiliates.”

Meanwhile, New Mountain director Mike Oshinsky added that O’Neill and the BMI management team have set a “dynamic path forward” for BMI, adding, “We are excited to help modernize the performing rights space and support BMI’s mission of serving songwriters, composers and publishers and growing their royalty distributions for the long-term.”

The acquisition is not without controversy as BMI has switched its model from a not-for-profit to a for-profit basis, a move that has caused concern among songwriters and publishers.