It’s official: Justin Bieber has agreed to promote a career-spanning catalog to Blackstone-backed Hipgnosis Songs Capital (HSC) in a nine-figure deal.
Hipgnosis has right this moment (January 24) introduced by way of a media launch that HSC has acquired “Justin Bieber’s 100% curiosity in his Publishing Copyrights (together with the Author’s Share of Efficiency), Grasp Recordings and Neighboring Rights for Bieber’s whole again catalog, comprising over 290 titles launched earlier than December 31, 2021″.
[Common Music Group continues to personal the grasp recordings of Bieber’s again catalog; it seems that Hipgnosis will now obtain Bieber’s artist royalty stream on these masters by way of Common.]
The Wall Avenue Journal reported in December that the Hipgnosis/Bieber deal can be price round USD $200 million.
MBW understands that, previous to the Bieber deal, Hipgnosis Songs Capital (to not be confused with the UK-listed public entity, Hipgnosis Songs Fund) had spent round $300 million on earlier acquisitions. These HSC acquisitions have included catalogs/earnings streams related to artists equivalent to Justin Timberlake, Nelly Furtado, Leonard Cohen, and Kenny Chesney.
Because of this: Hipgnosis Songs Capital has now splashed round half a billion {dollars} on catalog offers since being launched in This fall 2021.
The Bieber acquisition was made on behalf of Hipgnosis Songs Capital by its funding supervisor, Hipgnosis Track Administration (HSM). (HSM can also be the funding supervisor for Hipgnosis Songs Fund.)
Based on Merck Mercuriadis, founder and Chief Govt Officer of Hipgnosis Track Administration, the cope with Bieber, whose songs have been streamed over 32 billion occasions on Spotify alone, “ranks among the many largest offers ever made for an artist below the age of 70”.
Bieber has estimated gross sales of over 150 million data worldwide so far. All of Bieber’s six official studio albums have been licensed Platinum or multi-platinum by the RIAA and 33 platinum or multi-platinum singles globally.
Bieber has three singles – Child, Sorry, and Despacito – which have earned Diamond certifications for US gross sales exceeding 10 million, and a fourth in Love Your self that’s set to quickly obtain the identical standing.
“At solely 28 years of age, he’s one in every of a handful of defining artists of the streaming period that has revitalized your entire music business, taking a loyal and worldwide viewers with him on a journey from teen phenomenon to culturally vital artist.”
Merck Mercuriadis, Hipgnosis Track Administration
Merck Mercuriadis, Founder and Chief Govt Officer of Hipgnosis Track Administration, stated: “The impression of Justin Bieber on world tradition over the past 14 years has really been exceptional.
“At solely 28 years of age, he’s one in every of a handful of defining artists of the streaming period that has revitalized your entire music business, taking a loyal and worldwide viewers with him on a journey from teen phenomenon to culturally vital artist. This acquisition ranks among the many largest offers ever made for an artist below the age of 70, such is the facility of this unbelievable catalog that has nearly 82 million month-to-month listeners and over 30 billion streams on Spotify alone.
“Scooter Braun has helped him construct an impressive catalog, and it’s a pleasure to welcome Justin and his unbelievable songs and recordings to the Hipgnosis household.”
“Justin is really a once-in-a-generation artist and that’s mirrored and acknowledged by the magnitude of this deal.”
Scooter Braun, Hybe America
Scooter Braun, CEO of Hybe America and Justin Bieber’s supervisor of 15 years, stated: “I need to thank Merck and his whole Hipgnosis staff and all of our companions concerned for working so laborious to make this historic deal occur.
“When Justin made the choice to make a catalog deal we shortly discovered the most effective accomplice to protect and develop this superb legacy was Merck and Hipgnosis.
“For over a decade now Justin Bieber has entertained us and moved us with a number of the largest songs on this planet. I’m so pleased with him and all these concerned over time in serving to amass this unbelievable physique of labor.
“Justin is really a once-in-a-generation artist and that’s mirrored and acknowledged by the magnitude of this deal. For 15 years I’ve been grateful to witness this journey and right this moment I’m joyful for all these concerned. Justin’s greatness is simply starting.”
Information of Bieber’s deal comes eight months after one other pop celebrity, Justin Timberlake, bought his music catalog to Hipgnosis Songs Capital in a deal the WSJ reported was price $100 million.
Elsewhere, in March 2022, Hipgnosis Track Administration introduced the acquisition of a career-spanning catalog created by legendary Canadian artist and composer Leonard Cohen.
Previous to the announcement of its deal for the Leonard Cohen catalog, in January, Hipgnosis introduced it had acquired an 80% stake within the recorded music royalty stream of nation star Kenny Chesney.
Blackstone-backed Hipgnosis Songs Capital (Hipgnosis Songs Capital ICAV) is a separate entity to the UK-listed Hipgnosis Songs Fund.
Each of these funds (Hipgnosis Songs Capital and Hipgnosis Songs Fund) have their investments managed by Hipgnosis Track Administration, through which Blackstone is additionally an investor.
Most of the largest catalog offers so far have certainly been achieved by so-called ‘heritage’ artists.
In December 2021, Sony Music Group acquired two units of rights from Bruce Springsteen – each recordings and music publishing – overlaying the whole lot of Springsteen’s catalog, in a deal price not less than $500 million.
Bob Dylan, bought his recorded music catalog to Sony Music Leisure in January 2022, in a deal business sources counsel was price north of $150 million. Common Music Group acquired the publishing rights to Dylan’s songwriting catalog in one of many largest acquisitions in UMG’s historical past in December 2020, for a value seemingly sat between $300 million and $400 million.
Sting, in the meantime, bought his whole music catalog to Common Music Publishing Group (UMPG) in February 2022 for someplace across the $300 million mark.
Elsewhere within the music rights acquisition house in 2023, on Monday (January 23) Warner Music Group struck a “milestone deal” with legendary British progressive rock band YES to amass the recorded music rights and earnings streams from the band’s “full” Atlantic Information period catalog.
On the identical day, Main Wave Music introduced that it has acquired the music rights of Robby Krieger and the late Ray Manzarek of legendary US rock band, The Doorways.Music Enterprise Worldwide
