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Atlanta entrepreneur Russell “Big Block” Spencer has inked a deal with EMI Music/Capitol to distribute his label, Block Entertainment.

Block Entertainment was originally distributed by Sean “Diddy” Combs’ Bad Boy Records in a joint venture with Atlantic Records.

The label released albums on artists like Yung Joc, Jody Breeze, Boyz N The Hood (featuring Young Jeezy) and Gorilla Zoe.

The first release under the new deal will be new rapper Kollosus, who has created a buzz with his single “Settin’ Standards” featuring Gucci Mane.

“I am tremendously excited to partner with Capitol Records, a company with a proven track record in recognizing talent,” said Russell “Big Block” Spencer, CEO of Block Entertainment. “As an emerging voice of Hip-Hop, Kollosus promises to capture the attention of the discerning Hip-Hop audience. The collaboration between Capitol and Block Entertainment is vital to introducing him to a wider audience.”

Kollosus, born Kirk Young, is a Jamaican born, Decatur-based rapper who was discovered after Block witnessed him performing in a showcase.

“I’m not saying I’m through paying my dues in the music business because believe me there have been many days I wondered if this was going anywhere,” Kollosus said of his deal with Block Entertainment. “When I first got signed here, I went straight into the studio and recorded almost fifty songs. That level of work has taught me dedication, sacrifice and how to navigate as a business man.”

Kollosus’ first album I Am Kollosus will be released in the spring of 2010 on Capitol, which will handle the marketing, promotion and distribution of the release.

“Block Entertainment is a force to be reckoned with in the hip hop arena; they have continuously churned out undeniable hip hop stars,” said Leonard Brooks, SVP Urban A&R, EMI Music.

“As we grow Capitol’s urban roster, this association with Block Entertainment makes perfect sense. We are excited to sign Kollosus as well; he has a skillful flow that reflects his years growing up in Atlanta and his Jamaican-born roots. He has a unique sense of street swagger with a global appeal.”

Block Entertainment severed its relationship with Bad Boy and Atlantic in 2007.

In May of 2009, the label’s star artist Yung Joc announced he would no longer record for the label due to a dispute over royalties with the labels.