KKR Buys Music Rights Portfolio for $1.1 Billion From Kobalt
In a recent development, KKR & Co. said it bought a portfolio of song rights from Kobalt Capital for $1.1 billion in the latest music deal by the private equity giant.KKR joined forces with Dundee Partners, the family office of former Goldman Sachs Group Inc. partner Stephen Hendel, to purchase the KMR Music Royalties II portfolio, according to a statement Tuesday. The collection got more than 62,000 copyrights by artists and songwriters across music genres including pop, rock and country.
"This transaction positions us with significant scale, which we will continue to grow by providing flexible, creative capital to music rights owners," said Jenny Box, a KKR partner, in the statement. "Across KKR, we are investing in innovative technology, media and entertainment businesses that are connecting fans to music in new ways."
Music transactions became a trend during the pandemic as artists who were unable to tour looked to raise cash. Earlier this year, KKR teamed up with a music company to acquire song rights and also took a majority stake in the catalog of OneRepublic. Earlier this month, Blackstone Inc. said it's partnering with manager Merck Mercuriadis to invest about $1 billion in acquiring music rights.
