Morgan Wallen is making some changes.
Big Loud, the label that Morgan Wallen calls home, has reportedly sold a minority stake in his catalog to Chord Music Partners. Sources close to the deal say that the purchase was made for $200 million. A Big Loud representative confirmed to The Hollywood Reporter that the transaction took place but did not disclose any further financial details or terms of the sale.
The representative told the outlet:
“Big Loud has sold a minority stake in Morgan Wallen’s master recording catalog to Chord Music Partners, as part of a strategic investment to expand the label’s global footprint and fuel long-term artist development. The deal was executed with the support of the internal Big Loud team, alongside partners at Chord Music, Republic Records & UMG, PLUS Capital, Eisner, Loeb & Loeb, DLA Piper, Dickinson Wright and Armanino.”
Many music fans know the name Big Loud, given its extensive portfolio, which includes titles by Ernest, HARDY, Charles Wesley Godwin, and more. According to a source, the deal offers attractive multipliers that “will earn out steadily for the next five to 10 years.”
For those who might not understand how the music industry works, a typical record deal involves an artist signing with a record label, who works to fund, market, distribute, and promote the artist’s music. In return, the label usually owns the master recordings, which are the original recordings of the songs… that means they control how the music is used and monetized. They then have the legal rights to license the music for movies, commercials, streaming, and more. Artists will often receive just a royalty (a percentage of revenue). The artist’s catalog (their body of recorded work under that deal) becomes part of the label’s assets if they own the masters. This includes re-releases, box sets, and greatest hits compilations. This also means they can sell the rights to that catalog… remember when Taylor Swift was mad that Scooter Braun had acquired the rights to her masters when he purchased Big Machine from Scott Borchetta? She ultimately didn’t “own” her own music, and that’s why she opted to re-record a lot of it, the various “Taylor’s Versions.”
These days, a number of record deals are more nuanced and allow artists to retain ownership of their masters, especially if they bring their own funding or already have a strong following… think of some of the Texas country artists like Parker McCollum or Cody Johnson. They both were already established, successful country acts in Texas when they signed deals, and they retained a certain level of ownership and/or creative control because of it.
Got it? That’s just a quick and dirty breakdown of how that sorta works… and long story short, Big Loud can sell a small piece of Morgan’s catalog for a boatload of money, which will then allow them to continue to grow their business, sign more artists, make more superstars, etc…
The strategic move will help expand the label’s footprint, it comes at the perfect time, given Wallen just announced his own publishing company, called Wilder Music, which is named after his son, Indigo Wilder. The Tennessean reports the publishing venture is a partnership with Warner Chappell Music Nashville.
Wallen didn’t just announce his publishing company; he also shared that his first signee is hit singer/songwriter Jared Mullins. Wallen said on Warner Chappell’s Instagram that he is:
“…humbled to be launching this new venture with Warner Chappell, and even more excited that Jared is the first signing at Wilder Music.”
In a press release, Wallen noted that he’s seen Mullins’ talent firsthand. Mullins has written for artists like Little Big Town, Mitchell Tenpenny, Justin Moore, and Granger Smith, and has also collaborated with Wallen.
“He brings passion, authenticity and fresh ideas in every write he’s in. It’s undeniable.
Mullins also expressed his excitement about this venture and showed Wallen and the Warner Chappell team gratitude for signing him.
“As an artist, he’s obviously one of the greatest of all time, but he’s also one of the best writers in the world. I’m extremely grateful and incredibly humbled that he believes in me enough to make me the first signing of Wilder Music.“
Warner Chappell is known for championing great songs and for signing and re-signing some of the best writers ever to put words and melodies together. Working with Jessi and getting to know the rest of the WCM crew has been amazing. I’m so thankful for this opportunity, and I can’t wait to see what the Lord has in store for us.”
Morgan Wallen and his team are making big moves ahead of the release of his 37-track record, I’m The Problem, which is set to drop on May 16th.
