He added: 'The continued growth in streaming and additional revenue streams from digital platforms, irrespective of macroeconomic conditions, coupled with the improved terms of our new RCF is very encouraging.' These include the rise in streaming platforms, such as Spotify, Apple Music and Deezer, which generated around $25.1billion in global revenue in 2021, an increase of almost one-third from the previous year. Yet Mercuriadis said the new financing arrangement and possible swaps deal would 'provide long-term certainty' amidst an 'increasingly unpredictable debt market' and give it more opportunity to benefit from certain underlying trends within the music industry. Net debts equalled $569.9million at the end of March, compared to just $51.8million at the same point two years previously. Since being set up four years ago by Merck Mercuriadis, a former Iron Maiden manager, and Chic frontman Nile Rodgers, Hipgnosis has raised £1.3billion in equity and incurred $600million of debts in order to invest in back catalogues.Īmong the most famous musicians to sell their songwriting rights to the firm in return for a massive payday have been the Red Hot Chili Peppers, Chrissie Hynde, and Fleetwood Mac's Lindsey Buckingham and Christine McVie.įollowing a whirlwind of catalogue acquisitions in its first three years, though, the business has slowed the pace of investment over the past 18 months as concerns regarding its finances have mounted. Victory for music fund Hipgnosis as US authorities order streaming services to increase royalty payments.

Justin Timberlake sells his catalogue of hits to song management company Hipgnosis for £80m.Music is a great investment and I want more money to go to artists and songwriters, says Hipgnosis boss Merck Mercuriadis.how can investors get involved and is it worth it? From Fleetwood Mac to Bob Dylan, music catalogues are hitting a high note.

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