Autumn II
Proud Member
Really? Name three feasible ones, please.
They didn't name who the potential investors were that they said they had lined up.
Really? Name three feasible ones, please.
Somethings not right.. I'm not a conspiracy theorist, but let us not forget that it was no secret that MJ was not only afraid of losing the catalogue, but even voiced that he was afraid he would be killed for it.. Why would he be afraid of that if Sony could come in and buy it at any moment? and why wouldn't they have bought it when MJ was going around boycotting Sony? (https://www.youtube.com/watch?v=k3OcHA0yaOA)
Is it true that John Branca works for Sony and therefore would be in a conflict of interest?
There is this. I think the New York Post is tabloid-style, but the leaked emails are factual. Pretty sure.
http://nypost.com/2015/04/17/michael-jacksons-money-man-also-has-sonyatv-side-gig/
Wouldn't the "investors" own it then?
Great article. One of the many, many times through the years I felt like Michael was having the last laugh on everybody else. Laugh all the way to the bank.Paris78;4141076 said:Sony To Buy Michael Jackson's Half Of Sony/ATV For $750 Million
http://www.forbes.com/sites/zackoma...half-of-sonyatv-for-750-million/#280323d17474
by Zack O'Malley Greenburg/Forbes Staff
Michael Jackson earned more than any entertainer dead or alive in the first five years after his untimely passing. When the total soared past $1 billion last year, it seemed an incomparable milestone–at least until today, when Jackson’s estate announced the sale of the King of Pop’s half of the Sony/ATV catalogue to Sony for $750 million.
“When Sony first partnered with Michael Jackson 21 years ago to create Sony/ATV Music Publishing, we knew that this company had the ability to reach great heights,” said Michael Lynton, CEO of Sony Entertainment, in a statement. “This acquisition will enable Sony to more quickly adapt to changes in the music publishing business.”
The deal is also represents cold, hard confirmation of Jackson’s own little-known business savvy. He purchased ATV, home to many of the Beatles’ best publishing copyrights, in 1985 for $47.5 million–despite objections from many on his own team who thought he was impetuously overpaying. But Jackson had learned well by watching his Motown mentor Berry Gordy accumulate a valuable catalogue of his own over the years.
“He got the bug,” Gordy told me in an interview for my book, Michael Jackson, Inc. “And that gave him the [urge] to want to do something even greater.”
Jackson realized a massive profit on his investment in the mid-1990s when he merged his catalogue with Sony’s in exchange for $115 million–and a 50% stake in the newly-formed joint venture, Sony/ATV. As part of the deal, Sony was not permitted to enter the publishing business in any other capacity, enabling Jackson to profit equally from new copyrights they acquired for acts ranging from Eminem to Taylor Swift.
When Jackson died in 2009 amid the financial tumult of the Great Recession, some whispered that his estate might be forced to sell its half to pay off the King of Pop’s half-billion dollar debt. But executors John Branca and John McClain quickly struck deals for movie rights and new music, putting the singer on a path to earn over $100 million every calendar year since his death.
In life, Jackson sometimes spoke of his intent to leave his share of Sony/ATV to his children, and his estate had expressed an interest in buying Sony’s half of the catalogue when a clause enabling one side to buy out the other was triggered last year. But in the end, such a deal would have required bringing on another partner, likely diluting the estate down to a non-controlling stake in the company.
“This transaction further allows us to continue our efforts of maximizing the value of Michael’s Estate for the benefit of his children,” said Branca and McClain in a statement. “It also further validates Michael’s foresight and genius in investing in music publishing.”
Jackson’s children will still be able to enjoy the fruits of their father’s foresight–after taxes and acquisition debts associated with the catalogue are paid off, there should still be hundreds of millions of dollars awaiting them when they are old enough to gain full access to their trusts.
The estate still retains control of Mijac Music, which contains Jackson’s own publishing rights, as well as its stake in a chunk of recently-acquired EMI publishing rights. That, along with the Jackson-themed Cirque du Soleil show One in Las Vegas and further releases of new music, should keep Jackson atop our list of highest-paid dead celebrities.
The deal, which places an enterprise value in the neighborhood of $2 billion on Sony/ATV, is still subject to regulatory approval, and it could be some time before it closes. When it does, Michael Jackson will have had the ultimate last laugh on those who discouraged and disparaged him so many years ago–with the King of Pop ultimately selling his half of Sony/ATV for 15 times what he paid for the original catalogue, on top of the untold fortune in publishing income during the intervening decades.
As he told Sony/ATV chief Marty Bandeier in 2007: “I told you I knew the music publishing business.”
Does anyone know what music (other then his own) MJ has under MIJAC?
In addition to Sly and The Family Stone and Jackson's own songs, the Mijac catalog includes "Ain't No Stoppin' Us Now," "After Midnight," "Ease on Down the Road," "Great Balls of Fire," "(Your Love Keeps Lifting Me) Higher and Higher," "I Got A Woman," "If You Don't Know Me By Now," "Love Train," "Mr. Bojangles," "People Get Ready," "Runaround Sue," "Shake, Rattle and Roll," "Sixteen Candles," "The Wanderer", "What'd I Say," "When a Man Loves a Woman" and "You Don't Know Me."
Sly and the Family Stone's full catalog.
Anyone knows how much the Estate will eventually get from 750m after taxes and debts and any other fees?
Why? What could the estate have done to stop Sony?
Michael Jackson will have had the ultimate last laugh on those who discouraged and disparaged him so many years ago.
Tell them F**** off!!
about $70 to $130 Million
As for the "tried to kill him for the catalog", it turns out Sony had the buy/sell clause from the start per the statement. That means they could have exercised it when MJ alive as well - assuming there was no limitations. It would mean there was no need to "kill him" to get the catalog. All they needed to activate the clause. But they didn't.
1. In between the 1995 merger, this sale and the revenue over the three decades of ATV ownership, Michael's companies have managed to gather well over $ 1bln. For an initial investment of around 100 mln (in today's money apparently) that is not a bad profit margin at all. Even a mathematically-challenged one like myself can understand that.
I distinctly remember articles of theirs in the early 00s when they could swear Michael was debt-ridden and all done.
Except MJ probably would have done his best to find other investors and buy Sony's share while Branca didn't really bothered with that. Branca is working for Sony too. Massive conflict of interest.
Except MJ probably would have done his best to find other investors and buy Sony's share while Branca didn't really bothered with that.
Branca is working for Sony too. Massive conflict of interest.
Well that would have been pointless and childish
Am I the only one who gets tired of reading posts from people who haven't bothered to look at the detail beforehand? It's like some people read the thread title, and that's it!
It would only take a few minutes to understand what is actually going on before adding another pointless post. Is that too much to ask?
Rant over.
yes according to the last accounting.
Also fits with the statement it says $750 Million in total and explains "lump sum payment by SCA of approximately 733 million U.S. dollars as well as distributions previously committed to by Sony/ATV to be paid to the Estate." 750 - 733 = $17 Million. So they are giving them the annual guaranteed $17 Million distribution plus $733 Million.
That looks like a good deal then. They got 44 years worth of profit. PLUS all debts paid. And who knows where the music industry will be in 44 years?
quote from GirlThat acquisition and its sell simply are smart business decisions, for Michael then and for the Estate now. His own publishing rights will obviously stay and are debt free, as shall be the entire Estate, and that is what matters most.