Towards the finish of final yr, MBW ran the now-infamous headline: Here Come The Giants.

It was in reference to three heavy hitters from the investment neighborhood – Blackstone, Apollo Global Management, and KKR – deciding to cumulatively funnel billions of {dollars} into music rights acquisition.


Today (January 14), we be taught that one other towering title from the finance world – Pimco – can be coming into the fray.

The Financial Times reviews that Pimco has struck an alliance with BMG to collectively purchase track copyrights.

That alliance follows BMG’s separate pact with KKR – a partnership that just lately closed acquisitions of rights from John Legend and ZZ Top.

The FT cites sources suggesting that Pimco x BMG will search out smaller offers than these being struck by KKR x BMG.

Yet MBW hears from senior trade sources that Pimco has additionally began funding one other distinguished social gathering in the world of music rights acquisitions, with extra particulars of that participant’s actions set to emerge in the coming weeks.

The sheer scale of Pimco is a superb vote of confidence for the streaming-driven worth of music rights in 2022.

As we reported final yr, KKR has a portfolio of property underneath its administration price round $234 billion; Apollo Global Management has a portfolio of property underneath its administration price round $455 billion; and Blackstone has a portfolio of property underneath its administration price $649 billion.

By distinction, US-headquartered Pimco presently has a portfolio of property with a worth that dwarves all three of the aforementioned mixed: $2.21 TRILLION.

Amongst Pimco’s numerous investment actions, the agency is a world chief in actively managed bond funds. That could also be of explicit curiosity to the music trade proper now.

Last month, Private fairness firm Northleaf Capital introduced that it’s elevating $303.8 million by promoting Asset-Backed Securities (ABS) which are supported by music rights – together with songs created by Pete Townshend for The Who, and by nation star Tim McGraw.

According to Bloomberg, these securities will probably be supported by each publishing and sound recording rights, in addition to different revenue streams, throughout a complete of 52,729 songs.

Toronto-based Northleaf took possession of an curiosity in sure music catalogs at Spirit in October in a $500 million deal.

MBW estimates – primarily based on confirmed costs and knowledge from trade sources – that at the least $5.05 billion was spent on catalog and music rights acquisitions throughout the 60-plus big-money offers we reported on throughout final yr.

That determine consists of offers for particular person catalogs bought by artists and songwriters, plus acquisitions of music rights portfolios (together with these owned by lively labels/publishers) by firms from different firms.Music Business Worldwide

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