Sony buys a Michael Jackson music catalogue for $750m
The agreement will give the company sole ownership of works by the Beatles, Bob Dylan & Taylor Swift.
JOHANNESBURG/BENGALURU - Michael Jackson's estate has sold its stake in a valuable music catalogue to Sony Corp for a whopping $750 million.
According to AFP, the agreement for Jacksons half-share of the Sony/ATV Music Publishing catalogue will give the company sole ownership of works by the Beatles, Bob Dylan and other hit-making musicians, including Eminem and Taylor Swift.
The sale does not include rights to Jacksons master recordings or songs that he wrote, and the singer's estate will continue to have a stake in EMI Music Publishing.
Jacksons estate benefits his mother and three children, Prince, Paris and Blanket.
The deal establishes Sony's control over the joint venture that Jackson and Sony formed in 1995. Jackson had bought ATV a decade earlier from Australian businessman Robert Holmes a Court, outbidding Beatles singer Paul McCartney.
In September 2015, Sony exercised a right in its contract with the Jackson estate that allowed one partner to buy out the other.
This acquisition will enable Sony to more quickly adapt to changes in the music publishing business, Michael Lynton, CEO of Sony Entertainment said in a statement.
In October, the Wall Street Journal reported that Sony was moving ahead with a plan to sell its half of Sony/ATV Music Publishing, and estimated the publishers value at around $2 billion.
Boutique investment bank Allen & Co advised Sony on the deal.
Additional reporting by Reuters.