Final week, a brand new $200 million-backed indie music financing platform emerged from “stealth” after greater than a 12 months of improvement.
Pipeline was launched by Matt Spetzler’s funding agency Jamen Capital, with ambitions to develop into the “largest funder of unbiased music globally”.
Simply days after going public with the brand new platform, Spetzler’s Pipeline has already struck a partnership with unbiased energy participant Merlin.
Pipeline’s take care of the indie licensing company, which claims to signify 15% of the worldwide recorded music market, will give Merlin members entry to advances towards digital royalties.
In what’s being billed as a “vital growth of Merlin’s suite of member providers,” Pipeline says that it could supply the org’s members entry to advance funding “with out the paperwork of conventional financing sources or the necessity to hand over rights as the value of entry to funds”.
The businesses claimed in a press launch that the “new device is designed to allow Merlin members to develop their companies and unlock the worth of future revenues with out disrupting current industrial relationships”.
They pressured that the service is “solely elective” and that “participation doesn’t stop Merlin members from coming into into financing or industrial preparations with different events”.
Pipeline Co-Founder and Govt Chairman Matt Spetzler has accomplished greater than 10 investments in music/audio, totaling over $5 billion in worth, and at the moment serves on the boards of firms together with Kobalt, Soundtrack, Recognition Music Group, and Muse Group.
Earlier than launching Jamen Capital, Spetzler was a Accomplice and Co-Head of Europe at non-public fairness agency Francisco Companions, the place he performed a key function within the agency’s ~$750 million majority acquisition of Kobalt Music Group in 2022.
“Merlin represents the center of the unbiased music sector, and we’re proud to companion with them on an answer that addresses a long-standing hole out there,” mentioned Spetzler.
“Merlin represents the center of the unbiased music sector, and we’re proud to companion with them on an answer that addresses a long-standing hole out there.”
Matt Spetzler
He added: “Advances towards digital royalties for the unbiased music neighborhood are actually not solely potential, however sensible and scalable.
“Our objective with Pipeline is to offer clear, creator-friendly capital, and this partnership permits us to ship that worth on to Merlin members worldwide.”
Charlie Lexton, CEO of Merlin, added: “Merlin’s partnership with Pipeline is a gamechanger.
“We are able to now supply Merlin members a streamlined path to advance funding that doesn’t require them to compromise their rights or enterprise plans.
“We’re supporting our members’ capability to compete, whereas preserving their freedom to work as they select.
“Because the unbiased sector continues to develop it’s important that our members have entry to classy monetary instruments on truthful, clear phrases.”
Charlie Lexton, Merlin
He added: “Merlin members work on their very own phrases. They want assist that speeds them up, not processes that sluggish them down.
“With Pipeline, we’ve discovered a companion that understands that, and collectively we’ve developed an providing that meets that problem.”
Charlie Lexton continued: “Because the unbiased sector continues to develop it’s important that our members have entry to classy monetary instruments on truthful, clear phrases.
“This partnership with Pipeline is about eradicating friction, empowering independence, and making certain our members are greatest positioned to spend money on their companies and their artists with confidence.”
Pipeline has launched into an more and more energetic panorama of different funding choices for indie artists, labels, and distributors.
Elsewhere within the area, outstanding music financing platform beatBread has deployed over $100 million throughout 1,700 funding agreements since its founding in 2020.
The corporate raised $124 million in contemporary funding final 12 months from backers together with fairness capital from Citi, Deciens Capital, Mucker Capital, and Benefit Capital.
Elsewhere, music funding firm Duetti secured $200 million in contemporary financing final week.
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