Fleetwood Mac co-founder and drummer Mick Fleetwood is selling a catalog of all of the recorded songs to BMG. Rolling StoneBMG will get a share of the musicians’ royalties in an exaggerated catalog of 300 songs, including songs like “The Chain,” “Go Your Own Way,” and “Dreams,” which are recently again gaining popularity among teens due to their popular TikTok videos.
BMG declined to say how much the company paid on the deal. But it said it was the largest one-time acquisition BMG has made in two years.
Fleetwood from this sale becomes the third member of Fleetwood Mac to sell the catalog rights to a third-party investor or manager ̵1; Following in the footsteps of Stevie Nicks, who sold her distribution rights to Primary Wave Music in December, and former member Lindsey Buckingham, who sold his distribution rights to the Hipgnosis Songs Fund last week, Fleetwood Mac is one of the best-selling bands. The best of all time, with 54 million certified units sold by the Recording Industry Association of America. Rumor The band’s 1977 album has sold more than 20 million units and is Seventh place in Rolling stone 500 Greatest Albums of All Time, “Dreams,” the single from that album, just climbed to the charts four decades after its release with TikTok’s buzz.
Dozens of other artists and songwriters have sold their rights over the past several months, including Bob Dylan and Neil Young.For the creators of the music, the incentive is a large amount of cash paid upfront. For buyers, ownership of these stars will turn into a lucrative channel for decades to come.
The key difference in Fleetwood’s sales versus other acquisitions in recent months is that instead of selling the publishing rights, the drummer is selling the rights to his recordings. The right to publish is related to songwriting and composition. While the recorded permissions are related to the actual recorded performance of the song. That means publishing rights often bring more revenue with respect to sync licensing. (For example, when a song is licensed for use in a movie, TV, advertisement, or video game) and the copyright of the recorded song is directly linked to the stream, download and sales album.
Said Justus Haerder, executive vice president of group strategy and M&A at BMG. Rolling Stone that BMG will pursue a number of additional deals for this year’s recorded music interests.
Haerder said BMG expects overall publishing revenue to drop this year due to the cessation of Covid-19’s live performance (whenever there is a performance of music at a concert, the composer receives a substantial royalty. At the same time, the company expects recorded music copyrights to become more profitable – as music streaming continues to grow globally and more listeners translate to more royalties, so BMG is interested in It will receive more copyright to recorded music than the distribution rights, Haerder said.
“A lot of people are getting into the music IP behind the streaming world,” Haerder said. “When you actually watch, saved rights are the rights that almost grow out of streaming. Although publishing has benefited But there are more aspects That is why, in our opinion, recorded now are attractive if not as attractive as IP classes in the music space.
“We firmly believe that the rights and high-profile catalogs destined for these generations have sustained added value for future generations.”
He added: “ We think there may be a little oversupply and there are areas other than publishing and not being recorded alone, which we think are worthwhile acquisitions. Interested too “
BMG’s deal with Fleetwood took shape in November, shortly after “Dreams” skyrocketed on TikTok’s trend.The success of the virus was clearly considered in the deal, Haerder said.
Without specifying a specific name, Haerder said BMG is looking at a similarly high-profile catalog and hopes to close further deals throughout 2021.
“It’s a very competitive area, it’s a competitive process. But we definitely want to do more of these things, ”he said.“ We strongly believe that the rights and high-profile catalogs that are destined for these new generations have sustained increased value for the company. Future generations and we want to work with these artists and add value to their work. “
In a statement, Fleetwood called the deal “Amazingly inspiring marriage between two creative partners who understand every aspect” of the music business. “Most importantly, BMG understands art and puts artists first,” he said. “If this partnership is indicative of my past and my future, a working relationship with BMG, that’s what they ‘get’. Truly “