Justin Bieber Sells Music Rights To Hipgnosis Songs For Over $200 Million
Justin Bieber has, as expected, sold his music rights to Blackstone-backed Hipgnosis Songs Capital, for more than $200 million, the firm revealed. Last month, it was widely reported that the deal, which had been speculated for weeks, was imminent.
The agreement includes Bieber’s shares of his publishing and recorded-music catalog, his interest in his publishing copyrights (including the writer’s share of performance), master recordings, and neighboring rights for his entire back catalogue, which consists of over 290 titles released prior to December 31, 2021.
According to sources cited by Variety, Bieber’s tracks will continue to be managed by Universal Music, the singer’s longstanding label. His master recordings will remain the property of UMG forever.
The deal was undertaken by Hipgnosis Songs Capital, a collaboration between Hipgnosis Song Management and Blackstone-managed funds. Scooter Braun at Hybe America, David Bolno at NKSFB, Aaron Rosenberg and Audrey Benoualid at Myman Greenspan Fox Rosenberg Mobasssan Younger & Light LLP, and Michael Rhodes at Cooley represented Justin Bieber.
Braun, CEO of Hybe America and Justin Bieber’s manager for the past 15 years, stated, “I want to thank Merck and his entire Hipgnosis team and all of our partners involved for working so hard to make this historic deal happen. When Justin made the decision to make a catalog deal, we quickly found the best partner to preserve and grow this amazing legacy was Merck and Hipgnosis. For 15 years I have been grateful to witness this journey and today I am happy for all those involved. Justin’s greatness is just beginning.”
Merck Mercuriadis, founder and CEO of Hipgnosis Song Management, said: “The impact of Justin Bieber on global culture over the last 14 years has truly been remarkable. This acquisition ranks among the biggest deals ever made for an artist under the age of 70, such is the power of this incredible catalog that has almost 82 million monthly listeners and over 30 billion streams on Spotify alone. Scooter Braun has helped him build a magnificent catalog, and it’s a pleasure to welcome Justin and his incredible songs and recordings to the Hipgnosis family.”
William R. Leibowitz Law Group, Kirkland & Ellis LLP, and HW Fisher represented Hipgnosis Songs Capital.
The announcement comes at a quiet period for the artist, only weeks after he postponed the remaining dates of his “Justice” tour until “next year” without specifying a date. The tour, originally slated to begin in 2020, has been postponed numerous times, first due to the pandemic and most recently due to Ramsay Hunt syndrome, a rare virus that caused facial paralysis. After revealing his ailment, he postponed the remaining dates in June.
The Bieber deal would be Hipgnosis’s largest music-rights buy to date. Earlier this year, the business reportedly paid over $100 million for the rights to Justin Timberlake’s song collection, whose works are a few years older than Bieber’s. Although Bieber’s portion of successes such as “Sorry,” “Love Yourself,” and even earlier songs such as “Baby” is claimed to be very tiny, these songs are nevertheless major global smashes that define an era for many. In contrast, Hipgnosis also bought the collection of famed singer-songwriter Leonard Cohen, which contains several masterpieces older than 50 years.
Source – Tru News Report
