Mushroom Records
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Mushroom Records

Mushroom Records was an Australian flagship record label, founded in 1972 in Melbourne. It published and distributed many successful Australian artists and expanded internationally, until it was merged with Festival Records in 1998. Festival Mushroom Records was later acquired by Warner Bros. Records, which operated the label from 2005 to 2010 until it folded to Warner. Founder Michael Gudinski went on to become the leader of the Mushroom Group, the largest independent music and entertainment company in Australia, with divisions such as Frontier Touring.

Mushroom Records was an Australian record label formed by Michael Gudinski and Ray Evans in Melbourne in 1972.

Its inaugural release was an ambitious triple live album of the 1973 Sunbury Pop Festival, and over the first few years of its existence Mushroom signed a number of important Australian acts including Madder Lake, Ayers Rock, and MacKenzie Theory. In December 1974, Gudinski flew to the US to promote his recording artists, with Ayers Rock securing a recording contract, and an advance from A&M Records. Ayers Rock were the first Mushroom artist to sign an international recording contract. Mushroom struggled to survive for its first two years and reportedly came close to folding on several occasions. However, the label was dramatically pushed to the forefront of the Australian music scene in early 1975 following the massive success of Skyhooks, whose debut album, Living in the 70's, became the biggest-selling Australian LP ever released up to that time.

Around the same time, Gudinski was convinced to sign expatriate New Zealand band Split Enz, who had recently relocated to Australia. Although they had only moderate success for the first few years, Split Enz scored huge success in 1980 with the release of their album True Colours and the hit single "I Got You", which marked the emergence of Neil Finn.

In 1978, Gudinski started Suicide, a subsidiary label to Mushroom, to release punk music. Unlike Mushroom, Suicide was distributed by RCA. Its first release was a cover version of "These Boots Are Made For Walking" by The Boys Next Door.[better source needed]

In 1981, Gudinski started another subsidiary, White Label Records, to release what might now be called post-punk music, with signings such as Hunters & Collectors, Machinations, Painters and Dockers, Kids in the Kitchen and The Stems.

In the 1990s, remixer Gavin Campbell's Razor Records became a subsidiary of Mushroom.

Mushroom entered the international scene[when?] by setting up an International division in London headed by Gary Ashley (deceased 2017). The Australian label had some international success before then by signing The Saints, Dannii Minogue, Kylie Minogue and Jason Donovan in the eighties. However the last two were released internationally through PWL.

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