Palm Tree Crew, founded by Norwegian DJ and record producer Kygo and his manager Myles Shear, has raised $20 million from its Series B funding round led by talent agency WME Group, valuing the business at $215 million.
A combination of existing and new investors also participated in the round, Palm Tree Crew said on Tuesday (September 9) without disclosing their identities.
The investment comes as Palm Tree continues to expand beyond music festivals into hospitality venues and consumer investments.
Mark Shapiro, President & Chief Operating Officer of WME Group, said: “As music, hospitality, lifestyle, and live experiences converge, Palm Tree Crew has quickly established itself as a cultural force at the center of it all.”
“Our investment reflects both our confidence in Palm Tree Crew’s vision and the natural alignment between our companies in creating world-class experiences that captivate audiences around the globe.”
Mark Shapiro, WME Group
“Our investment reflects both our confidence in Palm Tree Crew’s vision and the natural alignment between our companies in creating world-class experiences that captivate audiences around the globe.”
Since launching in January 2024, the company has opened four hospitality properties: Palm Tree Beach Club in Las Vegas, Palm Tree Club & Hotel in Miami, and locations in Kansas City and Orlando. The venues combine entertainment, fashion, music, and lifestyle.
Palm Tree Crew’s festival operations span the US and Europe, with events in Montecito, Napa Valley, Saint-Tropez, and Sardinia. The company claims its festivals generate substantial economic impact in host markets, citing $88.3 million in local spending during its first Aspen event. Hotel rates increased 37% during that weekend, while secondary ticket prices reached 250% above face value, the company said.
The company operates nearly 10 festivals featuring artists such as Calvin Harris, A$AP Rocky, Swedish House Mafia, John Mayer, The Chainsmokers, and Kygo. The company has attracted brand partners like Amazon, DraftKings, Tequila Don Julio, and Revolve, and a merch line worn by Travis Kelce and Morgan Wallen.
The company’s investment arm, Palm Tree Holdings, supports early-stage consumer and technology startups. Recent investments include beverage companies Ryl Tea, Cove Sodas, and SipMARGS. The fund offers portfolio companies marketing support and access to Palm Tree Crew’s audience.
In March, Palm Tree Crew took part in a $3 million funding round for Hook, an AI-powered startup music platform that enables users to create and earn from legally licensed music mashups and remixes. Palm Tree Crew also joined a $5.1 million seed round in web3 music-making startup Arpeggi Labs.
“Our new funding and partnership with WME Group will accelerate growth across live events and hospitality while enabling diversification into synergistic verticals.”
Michael Diaz, Palm Tree Crew
Michael Diaz, CEO of Palm Tree Crew, said: “This past year proved the power of Palm Tree Crew as both a global festival platform and a growing hospitality company, from expanding to new markets to forging cultural partnerships with world-class brands.”
“Our new funding and partnership with WME Group will accelerate growth across live events and hospitality while enabling diversification into synergistic verticals. This new round of funding positions us to scale that momentum and deliver unforgettable experiences for fans around the world.”
Music Business Worldwide
