Sony Music is in talks to acquire Queen’s music catalogue, which includes hits such as Bohemian Rhapsody, in what could be one of the biggest ever deals of its kind.
Sony is working with another investor on a purchase that could potentially total US$1-billion, people familiar with the matter said, asking not to be named discussing confidential information.
The talks, which also cover merchandising and other business opportunities, are ongoing and may not result in an agreement, according to the people. A spokesman for Sony declined to comment. A representative for Queen could not be reached for comment.
Artists have been selling their catalogues to investors for increasing sums in recent years. Earlier this year, Sony acquired a half interest in pop star Michael Jackson’s music catalogue from the late singer’s estate for at least $600-million, Billboard reported. Bob Dylan also sold his recordings to Sony in 2022.
Queen’s back catalogue includes some of the biggest-selling hits, including Don’t Stop Me Now, Another One Bites the Dust and We Will Rock You.
Brian May, Roger Taylor, John Deacon and the estate of Freddie Mercury are equal shareholders in Queen Productions, which produced revenue of £40.9-million for the year ended 30 September 2022, according to the latest available filings.
The value of music catalogues soared over the last decade thanks to the growth of paid streaming services and low interest rates. Universal Music Group this year bought a minority stake in Chord Music Partners, a company that owns more than 60 000 songs, including ones written by artists like the Weeknd, John Legend and Lorde.
Catalogues
Not all music catalogue deals have been a success. In 2022, members of the band Pink Floyd decided to sell their catalogue for at least $500-million but bids failed to materialise.
Companies that have focused on buying up music rights have also struggled. Founded in 2018 in London, Hipgnosis bought up song catalogues with the goal of turning music into an asset class, but the fund struggled to recoup its investment in music rights and is currently being sold to Blackstone. It owns song catalogues from Blondie, the Kaiser Chiefs and the Red Hot Chili Peppers. — Giles Turner, Dinesh Nair and Lucas Shaw, (c) 2024 Bloomberg LP