Justin Bieber has sold his share of the rights to his music to Hipgnosis Songs Capital for a reported $200m.
The firm now owns the pop star’s stake in some of the biggest hits of recent years, including Baby and Sorry.
Bieber, one of the best-selling artists of the 21st Century, joins a growing group of artists who have cashed out on their catalogs.
The move means Hipgnosis will receive a payment every time a song it owns is streamed or used on radio, TV or film.
The company – a $1bn venture between financial giant Blackstone and the British Hipgnosis Song Management – acquired Bieber’s publishing copyrights to his 290-song back catalog.
It has also acquired his share in the original master recordings of his songs. That includes all of his music released before 31 December 2021.
Hipgnosis has not disclosed the terms of the deal, but a source told the news agency AFP it was worth around $200m.
Justin Bieber’s songs are “more valuable than gold”
The fund’s founder, Greek Canadian Merck Mercuriadis has previously said hit songs can be “more valuable than gold or oil”.
On striking a deal with Bieber, he said: “The impact of Justin Bieber on global culture over the last 14 years has truly been remarkable.
“At only 28 years of age, he is one of a handful of defining artists of the streaming era that has revitalized the entire music industry, taking a loyal and worldwide audience with him on a journey from a teen phenomenon to a culturally important artist.”
Bieber’s manager for 15 years, Scooter Braun, said: “When Justin made the decision to make a catalog deal, we quickly found the best partner to preserve and grow this amazing legacy was Merck and Hipgnosis.”
Artists are increasingly selling stakes in their work to music funds, although the trend is more common among older artists. In the last two years, music legends Bob Dylan and Bruce Springsteen sold back-catalog rights to Sony.
Springsteen received a reported $500m (£376m) for the sale of his life’s work.
But some younger artists like Bieber have begun selling, too. Imagine Dragons sold their catalog to Concord Music Publishing in August. Shakira stuck a deal announced this month with Hipgnosis Songs Fund for her entire catalog, which includes hits like “Hips Don’t Lie,” “Whenever, Wherever,” and “She Wolf.”