BMG To Buy Evergreen Copyrights

BMG Rights Management has agreed a deal to acquire Evergreen Copyrights.

The Evergreen catalog has more 65,000 titles including songs recorded by MC Hammer, Eric Clapton, Teddy Riley, Nick Drake, Bill Monroe and 2Pac. Its has interests in songs including "U Can't Touch This," "Cocaine," "Kiss Me," John Waite's "Missing You," Joe Cocker's "You Are So Beautiful" and Michael Jackson's "Remember The Time."

The latest BMG acquisition - terms were not disclosed - follows significant investments this year to acquire Cross Town Songs, Cherry Lane and U.K. music publisher Stage Three Music.

Last month, BMG revealed it will be receiving equity injections of €200 million ($262 million) from each of its shareholders - investment group KKR and media group Bertelsmann - to be used for further acquisitions.

BMG today (Sept. 20) confirmed the purchase agreement with Trilantic Capital Partners for Evergreen.

"Evergreen is known for its successful rights acquisition track record," said Hartwig Masuch, CEO of BMG Rights Management, in a statement. "With this large catalog of 65,000 titles we have further strengthened our position in the top four players in global music publishing,"

BMG now controls and administers more than 200,000 song rights and master rights. The Evergreen transaction is expected to be completed at the beginning of October.

Evergreen Copyrights is based in Nashville and New York and was founded in 2006 by Richard Perna, David Schulhof, and Joel Katz.

Trilantic Capital Partners will reinvest part of its proceeds to acquire a single-digit stake in BMG. BMG said this does not affect the operational business and the partnership structure of the joint venture. The investment ratio of the lead partners - KKR and Bertelsmann - will remain unchanged.

"We are pleased that we have found another partner who shares our view of the opportunities in the evolving music industry", said Thomas Rabe, BMG Chairman, in a statement.

Rabe confirmed at the beginning of September in an interview with that further transactions and acquisitions were in the pipeline for the second half of the year.

"Bertelsmann will continue to support BMG's expansion in the future," said Rabe.

"We are extremely pleased with the accomplishments of the Evergreen management team, who have done an outstanding job in growing the business," said Charlie Ayres, founding partner and chairman of Trilantic Capital Partners. "We are thrilled to embark on a new joint venture partnership with KKR and Bertelsmann as we look for new opportunities for growth in the global music rights business."