REFILE-UPDATE 1-Hipgnosis Annual Revenue Rises As Pandemic Boosts Music Streaming
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June 7 (Reuters) – Hipgnosis Songs Fund Ltd’s annual revenues jump 66%, helped by a boom in music streaming during lockdowns as many listeners stuck inside groove on ‘Don’t Stop Believin’ from Journey and other classics.
The London-listed fund, which invests in songs and intellectual property rights to music, collects royalties every time a song it owns is streamed. About 60% of his portfolio included music released over ten years ago.
The pandemic has encouraged a growing list of music industry professionals to monetize their old work by selling valuable tracks and albums as revenues from live concerts dry up.
“While we never would have liked a pandemic, it has accelerated the consumption of classic songs via streaming,” said Merck Mercuriadis, founder and CEO of the fund in a statement.
“Don’t Stop Believin ‘” has been played 1 billion times on Spotify alone, Mercuriadis added.
Hipgnosis last week struck a deal with Taylor Swift songwriter Joel Little, the latest in a string of high-profile deals that also saw the fund signing with Neil Young and Shakira, as well as Metallica producer. Bob Rock.
The company, which acquired 84 new catalogs last year – bringing its portfolio to 64,555 songs – said revenue for the fiscal year ended March 31 jumped to $ 138.4 million from $ 83.3 million. dollars year-on-year. (Reporting by Indranil Sarkar in Bengaluru; editing by Uttaresh.V and Sherry Jacob-Phillips)