After last year’s rush of music deal making, the industry expects even more sales of music portfolios this year. Music publisher Primary Wave capped off 2021 with deals for music rights from London folk-rock band America and blues rock baritone Paul Rodgers, investing $40 million and $20 million, respectively, according to people close to the deals. Listener preferences for older music, tax advantages on catalog sales and high valuations driven by the idea that music is a recession-proof and high-growth asset have pushed investors and sellers into negotiations, music industry executives and lawyers say. While listeners have increasingly been streaming older rock tunes, Primary Wave chief executive Larry Mestel said the song catalogs of America, Free and Bad Company have been under-commercialized. More music deals are under way on the heels of several high-profile sales, executives say.

Source: Wall Street Journal January 14, 2022 04:06 UTC