Shamrock, the funding agency that purchased Taylor Swift’s masters, sells minority stake

US-based funding agency Shamrock Capital is finest recognized within the music enterprise for purchasing blockbuster copyrights (like Taylor Swift’s first six albums, which it acquired for round $300 million again in November 2021).

This week, Los Angeles-based Shamrock introduced that it’s promoting what it calls a “passive minority fairness curiosity” in its agency.

In line with a press launch issued on Wednesday (October 26), Shamrock is promoting that curiosity to RidgeLake Companions, a strategic partnership between Ottawa Avenue Personal Capital and Apogem Capital, and Bonaccord Capital Companions.

Shamrock Capital, which has, in line with its web site, $3.8 million of belongings underneath administration, invests completely in media, leisure, communications, and associated sectors via what it calls a “multi-fund technique centered on personal fairness investments, in addition to possession and financing of content material and media rights”.

The agency was initially based in 1978 because the household funding firm for the late Roy E. Disney and has since advanced into an institutionally backed agency.

In 2020, MBW reported that Shamrock Capital had raised $400m in a brand new fund – and that it meant to spend that cash on leisure IP, together with music copyrights.

In November that 12 months, Shamrock struck a ≈$300 million deal to purchase the grasp rights to Taylor Swift’s first six albums.

Previous to its acquisition of Swift’s masters, one of many largest music-related acquisitions for Shamrock got here in 2018, when the corporate acquired a music publishing catalog owned by Stargate – the writers behind hits for Rihanna, Beyoncé, Katy Perry and extra.

Shamrock says that the transaction introduced this week will present it with “long-term capital to assist the continuing development and institutionalization of the platform”.

It added that there “will likely be no change” within the agency’s funding course of, day-to-day administration or operations.

In June 2021, the Los Angeles-based agency closed a $1 billion development fund, entitled Shamrock Capital Development Fund V.

In July 2021, Shamrock raised a brand new $196 million fund to supply mortgage constructions to IP house owners – i.e. advancing rights-holders sums that they then repay (with curiosity) through future royalties.

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In line with the press assertion, RidgeLake focuses on buying minority fairness stakes in top-tier middle-market personal fairness corporations. Bonaccord, in the meantime, a subsidiary of P10, Inc., is a non-public fairness platform devoted to buying non-control fairness pursuits in middle-market personal market sponsors. Bonaccord Capital Companions has $41 billion in belongings underneath administration in line with its web site.

Evercore served as monetary advisor and Kirkland & Ellis LLP served as authorized counsel to Shamrock.

“RidgeLake and Bonaccord’s strategic funding in Shamrock is a crucial milestone within the continued improvement of our enterprise.”

Steve Royer, Shamrock Capital

Steve Royer, President at Shamrock Capital, stated:  “RidgeLake and Bonaccord’s strategic funding in Shamrock is a crucial milestone within the continued improvement of our enterprise.

“RidgeLake and its associates have been investing with Shamrock since 2005 and have been trusted companions for us via the course of our agency’s development.

“We’re excited in regards to the alternative to increase our relationship with RidgeLake, and stay up for a fruitful partnership with Bonaccord, as we imagine that these corporations are well-aligned with our long-term imaginative and prescient for Shamrock.”

“The depth of Shamrock’s relationships and expertise in its core markets is unmatched and we imagine their skill to companion with development firms, founders, and creators globally will proceed to thrive within the years forward.”

Todd Milligan, RidgeLake Companions

Todd Milligan, Co-Head of RidgeLake Companions, added: “The depth of Shamrock’s relationships and expertise in its core markets is unmatched and we imagine their skill to companion with development firms, founders, and creators globally will proceed to thrive within the years forward.

“We’re thrilled to companion with Shamrock and stay up for supporting the profitable, long-term development of their distinctive funding platform,” added Michael Lunt, Co-Head of RidgeLake Companions.

“We imagine in Shamrock’s imaginative and prescient, and we stay up for actively partnering with Shamrock to assist its long-term strategic objectives.”

Ajay Chitkara, Bonaccord

Ajay Chitkara, Managing Companion at Bonaccord, stated: “We’re proud to put money into Shamrock Capital, an distinctive middle-market sponsor with a constant monitor file of investing in top quality belongings throughout media, leisure, and communications, delivering outcomes to its restricted companions for over twenty years.

“We imagine in Shamrock’s imaginative and prescient, and we stay up for actively partnering with Shamrock to assist its long-term strategic objectives.”

 Music Enterprise Worldwide