The estate of Robert Palmer has entered into a partnership with Primary Wave Music covering Palmer's publishing catalog, recording catalog, and name, image and likeness rights.
The financial terms weren't disclosed, but there's a much bigger money story hiding behind the deal.
Primary Wave recently closed its $1.5 billion acquisition of Kobalt's music publishing business, and earlier this year the company closed a $2.225 billion music fund; exceeding its original $1.5 billion target.
So when Primary Wave partners with another iconic artist estate, it's part of a much larger strategy: accumulate valuable intellectual property and find new ways to monetize it.
For Palmer's estate, that could mean new opportunities in synchronization, film and television, branding, digital marketing and other areas beyond simply collecting royalties.
For Primary Wave, it's another recognizable catalog that can potentially generate revenue for decades.
Why it matters: Music catalogs aren't necessarily being bought just to collect streaming royalties anymore. Companies are increasingly buying the entire ecosystem around an artist's intellectual property; songs, recordings, branding and likeness.
