Motown U.K. spinning out Euro, Brit R&B

Motown Records yesterday announced the creation of Motown U.K., which will focus on British and European R&B.

The company will operate independently of Motown’s U.S. company and will be headed by general manager Nicki Denaro, who worked with Motown through BMG Intl. when the label was licensed by that company.

Denaro will be assisted by Rahim Jung, a former club and radio promotion manager. Denaro will report to Motown’s Los Angeles-based senior VP of international, Karen Sherlock.

Kreuz control

First product from the new company will be a single and album by United Kingdom R&B group Kreuz, affiliated with ARP (Another Right Production Limited), a U.K. production company headed by Richard Satnarine and Phil Nugent, who formerly headed the indie label Pantrax.

First single “When You Smile” will be out March 29,followed by the group’s “New Generation” album April 26. All Motown U.K. releases will be handled by Polydor Records in the U.K. through Motown’s licensing agreement with Polygram Intl. Polygram Group Distribution will handle domestic release. “We believe (Satnarine and Nugent) are perfect partners for Motown as we expand our influence globally,” said Motown president/CEO Jheryl Busby.