Round Hill Music Royalty Fund has entered into a long-term agreement to administer 100% of ‘neighbouring rights income’ generated from the master recordings of three long-standing members of Supertramp.
Neighbouring rights are public performance royalties due to the sound recording copyright holder. They include the right to be paid when music is played in TV and radio broadcasts or in public places such as shops, restaurants and nightclubs.
The catalogue includes 39 original recordings with hits such as Breakfast in America, Goodbye Stranger and Give a Little Bit – which recently featured on an Amazon advert. The deal includes 100% neighbouring rights income of songs from the catalogue of long-time band members Douglas Thomson, Bob Siebenberg and John Helliwell.
‘These are timeless and iconic songs that have huge income-gen erating potential, creating strong returns for shareholders and adding depth to the progressive pop/rock genre in the company’s portfolio,’ said Trevor Bowen, chairman of Round Hill Music Royalty Fund.
Josh Gruss, chairman and chief executive officer of Round Hill, the company’s investment manager, said that as a rock fan and guitarist himself he was pleased to announce this latest deal. ‘Supertramp is a globally-known band with a vast catalogue of stable income-generating songs that multiple generations will recognise and listen to. For example, previously both Amazon and Hershey’s have used “Give A Little Bit” as the backing music to their television advertisements.’
Supertramp said: ‘Three of us from Supertramp – Dougie Thomson, Bob Siebenberg and John Helliwell – of the classic ’70s and ’80s line-up are pleased to announce that we have come to an agreement with Round Hill for a long-term agreement to administer our future neighbouring rights income.’
Due to commercial sensitivities, Round Hill Music Royalty Fund said it was unable to disclose financial details for each acquisition or deal as it occurred. But, on completion of the investment of proceeds from a fundraise of $86.5m., together with the remaining undrawn balance of its existing revolving credit facility, the company said it would make further financial disclosures.