The deal includes all her records released from 2008 to 2020
Katy Perry has sold her music rights to Litmus Music in a transaction valued at approximately $225 million (P12.7 billion). The agreement, officially announced on September 18, includes all of Katy’s albums released under Capitol Records.
This portfolio contains many multi-platinum hits like “Firework,” “Teenage Dream,” “Hot ‘n’ Cold,” “California Gurls,” and “I Kissed A Girl.”
This deal has the most significant catalog transaction involving a single artist this year. It even surpassed the previous record held by Justin Bieber, who sold his stake in his music catalog to Hipgnosis Songs Capital for $200 million earlier this year.
Litmus Music, co-founded by former Warner Music and Capitol Records president Dan McCarroll and backed with funding totaling $500 million from The Carlyle Group, now possesses Katy Perry’s interest in the master recordings and publishing for her albums. This means the company is entitled to collect future royalties generated by her music.
Hank Forsyth, CEO and co-founder of Litmus, expressed gratitude for the collaboration. He describes Katy’s songs as an “essential part of the global cultural fabric.”
The acquisition of music rights has become a burgeoning trend in the industry. Artists such as Bob Dylan, Shakira, and Justin Timberlake jumped on the trend to exchange future royalties for upfront bags of cash.
Katy Perry is known for hits like “Dark Horse” and “Roar,” which have gained over one billion streams on Spotify. Her career expanded to include a Las Vegas residency and family life with partner Orlando Bloom.
Banner Image Paulo Correa