It's the latest big money music deal following Blackstone’s $1.6B Hipgnosis fund buy
It can be tough to make money in the music business. Every busker on America’s streets and many artists heard on streaming platforms will tell you how hard it is.
But when you write the songs, and control the publishing rights, the returns on all those years of hard work can be large, especially if your songs have earned you a Grammy Award and been recorded by some of the biggest stars on the planet!
In recent years the song publishing rights of some major music legends have become the property of asset managers in multi-million-dollar deals.
Last week, private equity firm HarbourView Equity Partners added to around 60 music catalogs its owns with the acquisition of the publishing catalog of Grammy-winning singer/songwriter and producer James Fauntleroy.
As well as being a performer in his own right, Fauntleroy has written for and collaborated with an impressive group of musicians including Canadian superstar Drake, Bruno Mars, Justin Timberlake, Stevie Wonder, Beyoncé, Rihanna, Drake, and Mariah Carey. He was a writer on Mars’ new duet with Lady GagGa, ‘Die with a Smile’.
Established in 2021, HarbourView Equity Partners has quickly solidified its position in the industry, amassing roughly $1.6 billion in regulatory managed assets and establishing a distinctly diverse portfolio featuring thousands of titles spanning numerous genres, eras, and artists.
It recently secured close to $500 Million in debt financing from KKR and other investors to expand its music investment opportunities.
Although terms for the deal have not been disclosed, the breadth of work published by Fauntleroy means the financial gain for the songwriter will be substantial.
“My catalog sale to HarbourView is the culmination of years of work and dedication invested into the creative community and the craft of songwriting,” said Fauntleroy. “This partnership has already opened up more doors for growth and opportunity for me, and I’m incredibly excited and thankful to enter into this next chapter together.”
Fauntleroy is likely to use some of his new wealth for philanthropic purposes, having already co-founded the 1500 Sound Academy – a music school based in his hometown of Inglewood, striving to produce young artists, songwriters and producers with mentorship, positive mindset and professional development.
“James Fauntleroy has made an incredible impact with his contributions across several genres, including Pop, Hip-Hop and R&B,” said HarbourView founder and CEO Sherrese Clarke Soares. “With a keen ear for creating global hits, he has solidified his position as one of the best singer/songwriters and producers of this generation.”
Earlier this year, one of the world’s largest asset firms focused on the music catalogs of major names, Hipgnosis, sold its Hipgnosis Songs Fund Limited operations to Blackstone following a bidding war involving Concord. Blackstone paid around $1.6 billion.
