Sony Music has geared itself to purchase a 50% stake of Sony/ATV from Michael Jackson's estate for the whopping price tag of $750 million, the agreement is expected to be finalized by the end of the month.  The deal Sony predicts will close and be final by the latter part of 2016 or early in 2017,

What the agreement means for Sony is better market positioning in music publishing as the company will have full control of the publishing company and access to well over 3 million copyrights of prestigious artists which include The Beatles, Queen, Stevie Wonder, Taylor Swift and countless others.  Sony will as a result be enabled to adapt to changes and trends taking place in music publishing and the industry while allowing the company to be a welcome home for writers and artists alike.   

Jackson’s estate held a 50% stake of Sony ATV publishing prior to deal negocitaions, a share that Jackson acquired in 1995.  The terms of the deal however, do not include Jackson’s own master recordings, his estate will retain the rights to all the songs that Jackson wrote.    

The agreement was reached in part as a way for the estate to reduce a $250 million debt as well as to help Jackson’s children become more financially flexible.

Published by Ville Iso-Ahola