Bieber sells his share of the rights to his music: a deal of 290 songs

Justin Bieber's back catalog of over 290 titles, including the hits Sorry and Despacito, has been acquired by U.K.-based Hipgnosis Songs Capital (Blackstone and Hipgnosis Song Management joint venture). The agreement covers all of Bieber's music released prior to the end of 2021. Merck Mercuriadis, the CEO of Hipgnosis Song Management, praised Bieber's impact on global culture and called him one of the most powerful voices that defines what artists are today, in the world, although the value of the acquisition has not been disclosed.

So, the value of the deal for Justin Bieber's music catalog rights, acquired by Hipgnosis Songs Capital, was estimated by the Wall Street Journal to be around $200 million. However, no confirmation of the amount was immediately available. The CEO of Hipgnosis Song Management, Merck Mercuriadis, stated that the acquisition is one of the largest deals for an artist under the age of 70.

The catalog has over 82 million monthly listeners and over 30 billion streams on Spotify alone. Bieber joins other artists such as Bob Dylan and Bruce Springsteen who have recently sold their music catalog rights. In January 2022, Dylan sold his entire catalog to Sony and Springsteen did the same in late 2021.

Bieber paused his Justice World Tour in September after briefly returning to performing, stating in a tweet that he needed to prioritize his health.

However, the music catalog sales boom continues to escalate, with financial markets drawn to music portfolios as a lucrative asset class. Hipgnosis, a company that went public on the London Stock Exchange in 2018, has raised awareness of the spike in sales.

The Bieber deal confirms that investors remain interested in music acquisitions. The owners of a song's publishing rights receive royalties from various sources, including radio play, streaming, album sales, and use in advertising and movies. The recent sales come amid a larger conversation about artists' ownership of their work, sparked largely by Taylor Swift who is re-recording her first six albums to regain control of the master recording rights. This move was a result of her public feud with Scooter Braun, Bieber's manager, who once owned her original masters and sold them to Shamrock Holdings. In a statement, Braun said that when Bieber decided to sell his catalog, he found Hipgnosis to be the best partner to preserve and grow his legacy.

Just last year, Justin Bieber announced a break from touring to prioritize health. In June, he disclosed a diagnosis of Ramsay Hunt syndrome, causing facial paralysis. Recent shows have taken a toll, leading to the need for more rest and recovery. The 28-year-old singer recently returned to the stage but has given everything after a recent show in Brazil. Ramsay Hunt syndrome is caused by a shingles outbreak affecting the facial nerve near the ear, resulting in facial paralysis.

Ramsay Hunt Syndrome is a complication of shingles, a viral infection caused by the reactivation of the chickenpox virus. Shingles cannot be passed from one person to another but people with weakened immune systems due to stress or other factors may be more vulnerable to the infection. The syndrome can result in facial nerve damage and loss of movement which can be treated with facial exercises but recovery can take time.