Photo Credit: Sony Music
Apollo has announced it has provided a $700 million ‘capital solution’ to Sony Music Group for investments in the music industry. Could this be related to the rumored Queen catalog purchase?
Two weeks ago several sources spoke to Variety about a potential Queen music catalog acquisition by Sony Music in a £1 billion ($1.27B) deal. As part of that deal, the only revenue not covered is for live performances, which founding members Brian May and Roger Taylor will retain while touring with Adam Lambert. That report suggested another party was interested in bidding for the catalog, but stopped short of a billion-dollar offer—leaving Sony Music as the interested party for global publishing rights, name and likeness rights, and recorded music rights.
Apollo partner Jamshid Ehsani said in a statement: “We are pleased to provide a bespoke capital solution to an affiliate of one of the world’s leading companies. This investment allows our clients to invest in high grade securities while helping Sony to execute its business plans.”
The company is a global alternative asset manager with several ties to the music industry. It is the financial backer behind HarborView equity Partners, a music IP investment firm that launched in 2021. Apollo also recently acquired CKx. Inc, owner of 19 Entertainment—a producer of entertainment properties like American Idol and So You Think You Can Dance.
In 2022, Apollo also structured a massive asset-backed security transaction for Concord, which was a $1.8 billion bond offering based on Concord’s catalog of roughly one million music copyrights. Concord recently pulled out of the Hipgnosis Songs Fund bidding war, leaving Blackstone the winner in that takeover. Apollo committed both debt and minority equity to establishing the deal before, however.
As of March 31, 2024 Apollo has approximately $671 billion of assets under management. Apollo says it provides its clients with a focus on three investing strategies—yield, hybrid, and equity.
