asset-backed securities

Concord has become an old pro at utilizing ABSs to fund its acquisition and growth strategy. The Nashville-based company closed ABS deals worth $1.8 million in 2022, $500 million in 2023 — enabling the $469 million purchase of Round Hill Music Royalty Fund in 2023 — and $800 million in 2024. The latest ABS, which is managed by Atlas SP Securities, will repay the $1.7 billion outstanding from the 2022 ABS and fund other general corporate purposes, according to reports. The deal was announced in late June but isn’t expected to close until July 30. “We’ve very much liked the capital structure that allowed us to relatively easily draw new debt for new acquisitions,” CFO Kent Hoskins told Billboard in 2024.

In March, Pophouse, the Swedish firm behind the successful ABBA Voyage performances in London, announced it raised $1.3 billion to acquire music catalogs and create experiences around those rights. The fundraise consisted of $1.08 billion raised through a private equity fund and $216 million raised through dedicated co-investment vehicles. At the time of the announcement, Pophouse had already spent approximately 30% of the fund on partnerships related to the rights of KISS, Cyndi Lauper, Avicii and Swedish House Mafia. Exactly how Pophouse utilizes its rights — which typically include name and likeness — will vary by project, but each acquisition comes with a plan to create more hardcore fans. “If I can increase an act’s superfans from 5% to 6% [of all fans], the total streams will go up 10%, meaning the value of the catalog will go up 10%,” CEO Per Sundin explained to Billboard in May.

Major labels have a hearty appetite for major catalog acquisitions, but sometimes they need other people’s money to fund big-dollar transactions. In the past, Eldridge Industries partnered with Sony Music to acquire Bruce Springsteen’s publishing catalog, and Shamrock Capital joined with Universal Music Group for Dr. Dre’s music income streams and other assets, to name just two. Then, on July 1 (technically a day after the first half of 2025 ended), Warner Music Group (WMG) announced a partnership with Bain Capital for a $1.2 billion joint venture to acquire high-profile recorded music and publishing catalogs. The two partners will share duties to identify and secure catalogs, while WMG will handle marketing, distribution and rights administration. Goldman Sachs and Fifth Third Bank will serve as joint lead arrangers for the joint venture.

HarbourView’s second ABS in as many years brought in $500 million to help the company pursue opportunities in media, sports and entertainment. The Newark-based firm has focused on music rights since launching in 2021, buying more than 70 catalogs that span genres. It has also invested broadly, taking stakes in production companies MACRO and Mucho Mas Media and financing hip-hop biopics for Westbrook Studios, Flavor Unit and Jesse Collins Entertainment. Barclays structured the transaction and, along with KKR Capital Markets, acted as the placement agent. Fifth Third Bank and National Association served as passive placement agents.

WMG’s deal with Bain isn’t the company’s first partnership with a financial partner. In February, WMG announced it took a majority stake in Tempo, leaving founder Providence Equity Partners with a minority position. WMG’s legal advisor on the deal was Sidley; for Tempo and Providence, Moelis & Company was the financial advisor and Weil, Gotshal & Manges LLP served as legal advisor. Tempo was formed in 2019 by Providence Equity Partners, which at the time had over $45 billion in assets under management, with WMG taking a minority position. Tempo was originally funded by $650 million in equity and debt capacity, but according to its website, the joint venture has spent more than $1 billion to date on the catalogs of such artists as Wiz Khalifa, Florida Georgia Line, songwriter Brett James and Frank Ocean collaborator Malay.