The ’80s are back.
Bidders are lining up for a chance to buy a song catalog packed with ’80s hits from artists such as Tears for Fears, Culture Club, Bryan Ferry and Devo.
First-round bidders for the rights to some 30,000 songs include: BMG Rights, a joint venture of KKR and Bertelsmann; G2 Investment Group; and Primary Wave, which has teamed with Oaktree Capital.
A slew of smaller bidders have also entered the fray. Among them: Canada’s ole and Paris indie firm Because Music.
Sony/ATV, a joint venture of Sony Music and the estate of Michael Jackson, is selling the so-called Rosetta catalog in order to secure European Union approval for its $2.2 billion purchase of EMI’s publishing arm.
The value of the collection is pegged between $130 million and $150 million, sources said. It generates annual revenue of $25 million and $40 million, according to Billboard.
Publishing rights are popular with music buyers because owners get paid for the underlying copyright every time a song is played.
Several others may join the bidding in the second round, which kicks off Monday. Those include Saban Capital Group, Guggenheim Partners and Warner Music Group.
Reps either declined to comment or weren’t reachable at press time.
The catalog includes artists from two firms — Virgin Music and Famous UK. Among the more contemporary artists is UK songbird Duffy, whose hit “Mercy” is considered the most valuable in the collection.
“There are really great singer-songwriters, and I think the breadth of artists is spread nicely. It’s not too focused on one song or one genre,” said one source familiar with the process.
The sale process is being spearheaded by Michael Jackson’s estate lawyer, John Branca.