The Weeknd and Lyric Capital Group have entered into an agreement forming a business venture in which Lyric has invested in the artist’s music catalog from its inception through 2025, the artist’s representatives confirm to Variety. The deal sees the Weeknd – real name: Abel Tesfaye – and his team retain creative control over the catalog and the company’s remaining shareholders and owners.
The rep notes that the joint venture is not a conventional catalog sale: “From the start of the meeting, it was clear to everyone at Lyric that Abel would not be selling his catalog. He wanted to be more innovative and creative in the way we partnered. To that end, through this venture, we have built and launched a new business model with Abel and his iconic catalog in which Abel and his team have the freedom to execute their creative vision with full publishing rights. and masters. This unique catalog agreement sets a new standard for artist fairness and control.
The company only applies to the Weeknd’s music masters and publishing through 2025 and does not include any future releases. The Weeknd continues his partnership with XO/Republic/Universal Music Group; its publishing catalog has been and continues to be administered by Universal Music Publishing Group.
The representative added that because the transaction is not a conventional catalog purchase, it is impossible to calculate a royalty multiple. However, Variety sources and reports from Billboard and Bloomberg earlier this year indicated that assets were at least $1 billion based on approximately $55 million in net label and publisher share, implying a multiple of 18.2 times.
Representatives for the Weeknd and Lyric declined to confirm the figures. Varietybut if accurate, it’s one of the biggest deals involving a single artist catalog in history, let alone a contemporary artist – the only larger publicly recognized single artist deal was Sony Music’s acquisition last year of the Queen catalog, valued at $1.27 billion.
With over 120 million monthly listeners on Spotify alone, The Weeknd is one of the most popular artists in the world. His ongoing “After Hours ‘Til Dawn” tour recently surpassed the $1 billion mark, setting a record for a male solo artist.
“There is no ABS or securitization deal here,” the representative continued. “Lyric has created a one-of-a-kind structure with direct input from Abel and his team, which includes a one-of-a-kind “royalty-backed ticket” — produced by Lyric, ft. Partners Group — which greatly enhances the artist-friendly theme behind this partnership.
“I couldn’t be more excited about what Lyric, Abel and the team have created together,” said Ross Cameron, founding partner and co-managing partner of Lyric. “From our first meeting, it was clear to me that we were sitting around the table with individuals who were going to change the way an artist views their assets, their music, and their legacy. The collaboration resulted in a one-of-a-kind partnership between an artist and Lyric, and we are beyond excited about this new venture.”
“Lyric strives to create artist-friendly structures and we believe this partnership demonstrates that at the highest level with the best artist in the world. I want to thank Abel and his team for their confidence in Lyric,” said Rich Garzia, Co-Managing Partner of Lyric.
Half of its publishing rights already belonged to Chord Music Partners, backed by Universal Music Group and Dundee Partners.
Lyric Capital invests in music royalties and also owns Spirit Music Group, which controls the catalogs of Tim McGraw, Jason Aldean, Ingrid Michaelson and others.
Variety we will have more on this news as it develops.
