Sony Music Group is currently negotiating to purchase Queen's extensive music catalog, according to Bloomberg. The deal, valued at around $1.2 billion, is going to be the largest acquisition in history if involved parties come to an agreement. This will include rights to the band’s hits such as "Bohemian Rhapsody," "Don't Stop Me Now," and "We Will Rock You" as well as merchandising rights and other related business ventures. However, a spokesperson for Sony and a representative for Queen have both refrained from commenting on the ongoing negotiations.
Sony recently secured a significant stake in Michael Jackson’s catalog for approximately $600 million and acquired Bob Dylan's recordings in 2022.
Queen’s catalog reportedly earned $52 million in 2022, with the ownership of Queen Productions equally divided among band members Brian May, Roger Taylor, John Deacon, and the estate of Freddie Mercury.
The growing interest in music catalogs is driven by the expansion of paid streaming services and historically low interest rates that boost their perceived value.
The Royalty Exchange Advantage
Sony Music Group's potential $1 billion deal for Queen's catalog is an indication of a broader trend in the music industry where the increasing monetization of music catalogs have become lucrative assets. Artists and estates have been capitalizing on their catalogs by leveraging the rising value of music rights in the streaming era.
At Royalty Exchange, investing in music royalties has become democratized by allowing fans and investors to acquire shares in the royalties of some of the biggest songs by their favorite artists. The platform provides a more accessible entry point into the music rights market, which has traditionally been dominated by industry giants such as Sony Music Group as well as private equity firms.
Unlike large-scale acquisitions that require substantial capital outlay, Royalty Exchange allows participation with much smaller investments so individuals can benefit from the music industry's lucrative returns.
Past successful sales include asset listings of some of the top artists today such as Rihanna and Kanye West’s catalog that was sold for $35,000 (11.32 times the earnings in the last 12 months) in May 2024, and Beyoncé and Nas’ catalog for $30,000 (8.56 x LTM) that was sold in June 2024.
Prices can be as affordable as $6,500 (18.86 x LTM) for the catalog that contains Dido’s and Santana’s hits, or $15,000 for a K-Pop catalog (3.37x LTM) that was sold in April 2024.
Royalty Exchange also offers a diversified portfolio that includes a wide range of genres and artists. NCT 127's hit "Lemonade" songwriter royalties was sold for $53,000 (3.98 x LTM) in June 2024. On the other hand, the animated movie, “Shrek,” had its film score music royalties picked up for $137,115 (15.00 x LTM) in the same month.
There’s also music from popular children shows for $16,500, TV and film cues for $800,000, and production music in TV and commercials that has yet to find a winning offer since its initial sale.
For non-music investors, three royalties listings for mouthwash brand Listerine are still available as of this writing. Prices range from as low as $69,500 to as high as $1.1 million.
Royalty Exchange also deals in various types of rights, including mechanical, performance, synchronization, and others. Best of all, it offers a transparent bidding process and clear terms of ownership, so investors can have control over their investment choices where catalogs of music royalties have demonstrated consistent earning potential over time.
New to Music Royalties Investing?
At Royalty Exchange, you can learn how to select the best asset to invest in. We offer hundreds of catalogs with different genres that are up for auction today, so sign up as an investor to get started.
If you’re new to royalty investing, we’ve prepared this guide on Royalty Investing Made Easy. Discover why so many investors today are actively searching for the next best music investment deals.
