This article was published on October 10, 2021

A new report from Billboard correctly suggests that Kobalt is looking to sell its Kobalt Music Royalty Fund II for a price-tag in the region of $1 billion… and that the firm is in the final stages of a negotiation with a group of investors that includes KKR.

Kobalt Capital has managed two funds down the years.

The first and smaller of these two Kobalt funds owned a collection of copyrights that were sold to Hipgnosis Songs Fund for $323 million in November last year.

The second and larger of these funds, Kobalt Music Royalty Fund II, was established in 2017 with $600 million to spend, backed by the likes of UK pension scheme Railpen, along with other institutional investors.

Kobalt Music Royalty Fund II went on to buy the catalog of Matt Pincus’ SONGS Music Publishing for around $160 million in late 2017.

The acquired SONGS’ catalog included chart-topping hits by the likes of The Weeknd, Lorde, and Major Lazer.

To read the entire article click here: https://www.musicbusinessworldwide.com/kobalt-is-selling-a-music-catalog-for-1-billion-and-kkr-is-in-prime-position-to-buy-it/