Hip-Hop: Featuring Timbaland & Drake

Here's a chance to earn from one of hip-hop's most legendary and sought after producers, Timbaland, as well mega-star Drake and more!

$33,000

closing price

Auction Closed

Top Bid: PATRICK R

Historic royalty income is no indication of future royalty income. Future royalty income is dependent upon future sales and licensing revenue generated by the sound recordings or compositions associated with this listing.

Starting Price: $8,500
Bidding Increment: $500
Closing Price: $33,000
End Date: Mar 07, 2018, 3:00 PM MST
Investment Term: Life of author + 70 years
50% of Last 12 Months' Royalties: $3,412
Royalty Type: Public Performance
First Payment: April 2018
Buyer Fees: $75 ASCAP Assignment Fee

*A one-time ASCAP reassignment fee of $75 will be added to the final sale price on the invoice.

Description

Last year we auctioned 50% of this catalog, you can view that listing here. Now, we’re selling the remaining 50%.

Here’s one more chance to collect songwriter royalties for a catalog featuring hits from Grammy-winning, super producer Timbaland. Between the three Timbaland tracks, they account for 82% of the catalog's historic earnings. Over the last 12 months, this collection of music has generated $3,412 in royalties.

The highlight of this asset is the title “The Way I Are,” which is the second single from Timbaland's second studio album Shock Value. Released in 2007, the song accounts for 43% of earnings and is certified triple-Platinum in the United States. “The Way I Are” reached No. 3 on the on the Billboard Hot 100 and hit No. 1 in several countries including Australia, Canada, Denmark, Ireland and the United Kingdom. It also breached the top five in other countries including Austria, France, Germany, New Zealand and Russia. Even 10 years after its release, “The Way I Are” continues to garner streaming royalties with views on YouTube with over 205 million views and 72 million spins on Spotify.

The other notable title in this collection is the track “Say Something” by Timbaland featuring Drake. The song was released in 2009 on Timbaland's third studio album Shock Value II and brings in 29% of income. “Say Something” topped two Billboard charts at No. 1 on both US Hot R&B/Hip-Hop Songs and Rap Songs and No. 25 on the Billboard Hot 100. This track is currently seeing 13% growth over the last four quarters.

“Morning After Dark” is the final Timbaland title within the catalog, which has a global presence. This track pairs Timbaland with French singer SoShy and Canadian singer Nelly Furtado, which whom he's successfully collaborated with before. The song makes up 10% of the catalog and achieved chart positions in 15 countries, including No. 5 spot on the US Dance Club Songs.

Key Drivers

1.) It's no surprise that the big draw of this catalog is from Timbaland himself. As a producer, he's worked with some of the biggest names in the business like Missy Elliott, Justin Timberlake, Nelly Furtado, Ginuwine and Jay Z, among others. He's also released three of his own albums, with tracks in this catalog coming from two of those albums. He currently has a hip-hop musical in the works based on his upcoming final album of the same title, Opera Noir. He also recently released a new single. New releases can draw interest from first-time listeners and reignite existing fans' interest in an artist and their older works.

2.) Radio is the largest source of revenue for this catalog, accounting for 63% of historic earnings. The three Timbaland songs were released upwards of 10 years ago. Although the radio royalties are beginning to level off, those royalties are still coming in.

Songs that experience significant radio play often build a foundation of streaming and other types of income as the radio royalties begin to slow down. Streaming accounts for 12% of the catalog's royalties in the last 12 months. You'll notice there is a shift in streaming income in the last 12 months, compared to the historic earnings for the catalog. Although this is a small percentage of overall earnings, as radio royalties start to slow, we should expect the income from streaming begin to rise.

What is being sold?

50% of the seller's interest in the songwriter's share of public performance royalties attributable to the seller's catalog of musical works. See the “Financials” tab for a full track list.

IMPORTANT NOTE: Possession of the songwriter’s portion of this asset must be taken via a trust, which is required due to ASCAP’s assignment policy. Please see the Post-Auction Process tab for further information.

How does this asset make money?

Every time “The Way I Are” or any song in this catalog, is played on the radio, Pandora, Spotify, or any other type of public performance, you earn royalties. ASCAP makes payments quarterly and the first distribution you will receive is April 2018

What rights are included?

  Musical Composition Sound Recording
Copyrights included? No
Rights:
Mechanical
Public Performance
Sync
Sales
Non-Interactive Streaming
Sync
Sources: Internet Streaming, AM/FM & Satellite Radio, TV/Film/Commercial Performances, etc. Internet Streaming, Satellite Radio, Digital Downloads, CD Sales, TV/Film/Commercial Placements & Performances, Samples, etc.
Distributors: ASCAP

About the Royalty Distributor

ASCAP is the American Society of Composers, Authors and Publishers. It is a membership association of more than 575,000 composers, songwriters, lyricists and music publishers of every kind of music. ASCAP also represents music creators worldwide through agreements with affiliated international societies.

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