• Pop icon Justin Bieber has agreed to a $200 million sale of his catalogue interests.
•  Hipgnosis Songs Capital, which is financed by Blackstone.
• This transaction represents the latest blockbuster rights deal in the music business.

Justin Bieber  28-year-old singer joins a who is who of artists who have recently cashed out on their catalogues thanks to the sale, which has been reported for weeks. Hipgnosis did not publicly disclose the deal’s details, but a source familiar with the situation told AFP that it was estimated to be worth $200 million.

Even though modern celebrities like Justin Timberlake and Shakira have sold significant portions of their works and have agreements with Hipgnosis, the practice has primarily been observed among established musicians like Bob Dylan and Bruce Springsteen.

The enormous sums—collection Springsteen’s reportedly sold to Sony for half a billion dollars—are seen as sure bets by investors who can bank on reliable returns from time-tested music and the sustainability of streaming as well as by elderly musicians who are trying to get their finances in order.

Younger catalogues are generally considered to be more dangerous, but since Justin Bieber is one of the best-selling artists of all time, Hipgnosis now has a piece of some of the biggest singles of the twenty-first century, such “Baby” and “Sorry.”

A $1 billion partnership between financial behemoth Blackstone and the British Hipgnosis Song Management is known as Hipgnosis Songs Capital. In accordance with the agreement, Hipgnosis has acquired all 290 of Justin Bieber’s songs that were previously released, including his writer’s share and publishing copyrights.

It also includes his neighboring rights royalties, which are rights that entitle their owner to compensation each time a song is performed in public, as well as his artist rights on his profitable master recordings. Hipgnosis will get the money, but Universal, who has been Bieber’s longstanding home, will still manage the catalogue, according to Variety.

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