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Kiss, the flamboyant US rock band, has sold the rights to its music as well as its name, image and likeness to Pophouse, the Swedish entertainment company founded by Abba’s Björn Ulvaeus.
Pophouse plans to use the deal to create a live music show featuring avatars of the members of Kiss, similar to Abba Voyage, the London show that features digital versions of the members of the Swedish band playing their hits.
The agreement, announced on Thursday, values the artists’ share of the music rights and branding at about $300mn, according to a person familiar with its terms. Pophouse said the terms were confidential.
Pophouse hopes to keep the band in the public eye for many years after the actual members of Kiss have stopped touring. The company said the deal would “unlock new audiences and revenue streams”.
The sale also demonstrates how some investors are taking a more active approach to their ownership of music rights, which have become a popular asset class in the past few years.
Music rights yield an income stream based on streaming revenues and record sales, but investors can also push up values through licensing deals for movies and TV shows.
The acquisition of the name, image and likenesses of Kiss — a notably theatrical US rock band that has sold more than 100mn records worldwide over a 50-year career — gives Pophouse further opportunity to create new revenue streams off the band’s heritage.
Gene Simmons, bassist and co-founder of Kiss, said there were various plans in development, including the virtual concert, a biopic and a Kiss-themed “experience”.
Johan Lagerlöf, head of investment at Pophouse, said the company’s mission was “to fulfil the band’s vision to become immortal”, adding: “Kiss is one of the most recognised and iconic bands in the history of music. They redefined the concept of rock shows and have always taken their artistry to new unchartered territories.”
Pophouse began investing in music catalogues in 2022 by acquiring the majority share of the catalogues of Swedish dance acts Avicii and Swedish House Mafia. It is the lead investor and co-producer behind the Abba Voyage virtual concert. Pophouse has also acquired Cyndi Lauper’s music catalogue.
Pophouse’s chief executive Per Sundin was previously managing director of Universal Music Sweden and president of Universal Music Nordics from 2008 to 2019. Sundin first signed Avicii in 2010, and is the co-founder of Avicii Experience, a museum dedicated to Avicii.
Sundin said the deal would breathe “new life into their characters and personas while also leveraging and elevating the visual world of Kiss”.
Development of the virtual concert is already under way. Fans were given an early view at the final Kiss show in Madison Square Garden in New York in December when avatars sang their hit “God Gave Rock And Roll To You”. The avatar show is planned to launch in 2027.
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