07:10 AM EDT, 10/06/2022 (MT Newswires) -- Brookfield Asset Management Inc. is joining with independent publisher Primary Wave Music in a US$2 billion deal to invest in music copyrights, the companies said, The Wall Street Journal is reporting Thursday.
It said the asset manager, which hasn't previously invested in music catalogs, will take a significant minority interest in Primary Wave, and commit $1.7 billion to fund a permanent capital vehicle focused on acquiring music rights from top acts.
Unlike Primary Wave's existing funds, which have a typical 10- to 12-year lifespan, the new vehicle is structured to hold catalogs as long as it wants to have them and never has to sell, according to the report. It said the deal also brings on Creative Artists Agency as a strategic partner and minority investor in Primary Wave, tapping the talent agency's film, television, theatrical and branding teams to help market and find uses for the acquired copyrights.
"It means there isn't any good acquisition that we couldn't do in the music business," said Primary Wave Chief Executive Larry Mestel. "We're not limited by size or opportunity."
Already, the new outfit, which the companies say has several deals in the pipeline, has acquired all of punk icon Joey Ramone's music-publishing assets for around $10 million, according to people close to the transaction. The acquisition includes the Ramones frontman's songwriting interests in "I Wanna Be Sedated," "Sheena is a Punk Rocker," and "Rock 'n' Roll High School."