Legendary rock singer Rod Stewart has sold his song catalog to Irving Azoff’s Iconic Artists for nearly $100 million in a deal that comprises interests in his publishing catalog and recorded music, as well as some name and likeness rights, according to the Wall Street Journal.
Stewart commented on the sale in a statement, saying “This year marks my 60th year in the music industry. The time is right, and I feel fortunate to have found partners in Irving and his team at Iconic that I can entrust with my life’s work and future musical legacy.”
“We are thrilled to welcome one of the most celebrated singer-songwriters of our time, Rod Stewart, to the Iconic family,” said Irving Azoff, Chairman and CEO of Iconic. “Our new partnership with HPS provides us with the resources and flexibility to make blockbuster signings like this one and to continue the success of our legendary artists and their legacies.”
“Iconic has built an impressive platform and artist portfolio, and we are pleased to provide financing that will enable the company to further scale its business and advance its mission of championing the rights of musical talent,” commented Scot French, Governing Partner at HPS.
The deal comes as Iconic announced that it has raised more than $1 billion in new capital for future catalog investments, primarily from the investment firm HPS Investment Partners. It comes in a second wave of investment in major song catalogs, as Sony Music recently closed its deal to acquire a major stake in the Michael Jackson catalog and reports heat up again about a nearly $1 billion deal for rights to the Queen catalog. The formerly white-hot market has cooled down in recent years as interest rates rose, prices soared and the number of top catalogs narrowed.
While the number on the deal is significantly less than those of Bob Dylan, Bruce Springsteen or even Genesis, who reaped between $700 million and $300 million for a multitude of rights, Stewart, 79, has written fewer hits than those artists, being primarily known as a singer and performer. However, his six-decade catalog includes 10 No. 1 albums and and his work with the Jeff Beck Group and the Faces — and his songwriting catalog includes such hits and classics as “Maggie May,” “Stay With Me,” “You Wear It Well,” “You’re in My Heart,” “Do Ya Think I’m Sexy?” and more.
Stewart nearly sold his catalog to the now-troubled Hipgnosis Songs company, but after nearly two years the deal had not closed and he pulled out. He lambasted the company in a social-media post last year, saying “This catalogue represents my life’s work. And it became abundantly clear after much time and due diligence that this was not the right company to manage my song catalogue, career or legacy.”
Stewart’s deal with Iconic follows the company’s acquisitions of the catalogs of the Beach Boys, Cher, Dean Martin, David Crosby, Stephen Stills, Nat King Cole, Linda Ronstadt, and Joe Cocker.
Later this month he will release his 32nd studio album and big-band salute, “Swing Fever.”
Artisan and Moelis acted as financial advisors to Iconic, and Gibson Dunn and Alter, Kendrick & Baron acted as legal advisors. Jackoway Tyerman acted as counsel to Rod Stewart. Lisbeth R. Barron and the team at Barron International Group, LLC acted as financial advisor to HPS Investment Partners, and Latham & Watkins acted as legal advisor.
