Pophouse Entertainment, the Swedish entertainment company led by former Universal Music Sweden Managing Director Per Sundin, has acquired a 75% interest in the masters and publishing catalog of Avicii.
The deal follows the launch of the Avicii Experience interactive tribute museum in Stockholm in February that was borne out of a partnership between the family and estate of Avicii (Tim Bergling), and Pophouse CEO Sundin, who first signed Avicii as CEO of Universal Sweden in 2010.
Pophouse disclosed the latest agreement in a joint release with the Tim Bergling Foundation on Wednesday (September 28), without revealing the financial terms of the transaction.
The Bergling family will continue to be closely involved in Avicii’s music as a minority owner of a 25% stake.
They will also form a joint venture with Pophouse to further develop and safeguard Avicii’s legacy through future global endeavours, such as the interactive tribute museum in Stockholm.
The deal comes half a year after Pophouse acquired the master recordings and publishing catalogs of electronic music stars Swedish House Mafia, including their writer’s shares.
It marked the first time that the company entered into the rights acquisition space.
With the sale, Tim Bergling’s parents, Klas Bergling and Anki Lidén will be able to take a step back from many of the tasks required to run Avicii’s estate and allow them to place more focus on the Tim Bergling Foundation, Pophouse said.
The foundation was launched a year after the artist’s passing in April 2018.
“My wife and I feel that as we are getting older, we do not have the right energy level or required skills to fully keep ahead of the new streaming and digital developments vital for such a big, international artist as Tim,” Avicii’s parents said in a statement.
The Avicii brand is owned by a company called Avicii AB which is fully owned by the foundation. Through a 50/50 joint venture with Pophouse, the Avicii brand will be managed by both parties.
“The Tim Bergling Foundation continues to have full access to the brand and can proceed just as before, without the catalogue business limiting new or additional collaborations. Through the catalogue business, the Foundation gets completely new expansion possibilities and an indefinitely longer lifespan,” Klas Bergling and Anki Lidén said.
The transaction will secure the foundation’s long-term finances and create opportunities to support key issues such as the mental health and well-being of young people, they added. The foundation supports helplines, builds music studios in exposed areas and offers music therapy, concerts and other open activities to remove the stigma associated with mental health issues and suicide.
“Working with the Tim Bergling Foundation is a full-time commitment for us. The foundation has only been running for a few years and much needs to be done for a long time to come,” Avicii’s parents added.
“The Tim Bergling Foundation continues to have full access to the brand and can proceed just as before, without the catalogue business limiting new or additional collaborations.”
Klas Bergling and Anki Lidén
The collaboration will also ensure that Avicii’s fanbase will be taken care of, they said.
Avicii rose to prominence in 2011 with his Grammy-nominated single Levels, and about a year later, he was ranked as the No.1 DJ in the world by DJ Magazine. He then launched his debut studio album True in 2012, which hit the top 10 in more than 15 countries, fueled by the album’s lead single Wake Me Up.
Also in 2012, the artist was nominated for a Grammy Award for his work on Sunshine with David Guetta in 2012. In 2015, Avicii launched his second chart-topping album, Stories, and a fourth EP, Avici, in 2017.
Throughout his career, Avicii teamed up with a number of artists from different genres including Coldplay frontman Chris Martin, Nile Rodgers, bluegrass artist Dan Tyminski, country-rock singer Zac Brown, glam-pop vocalist Adam Lambert, rapper-singer Wyclef Jean, and Rita Ora.
Avicii also produced music for Madonna, Coldplay, David Guetta and Tiësto.
“It is with honour and pride that I and the entire Pophouse company, together with the Bergling family, will nurture and introduce his music to new generations of listeners in all parts of the world.”
Per Sundin, Pophouse
Pophouse CEO Per Sundin, said: “Tim was not only one of the world’s best DJs, he was an extremely productive genius who always went his own way, mixing genres, challenging conventions and creating music history.
“I followed his whole journey, and it is with honour and pride that I and the entire Pophouse company, together with the Bergling family, will nurture and introduce his music to new generations of listeners in all parts of the world.”
After his passing, the artist’s third and final album, Tim, was released in 2019 with collaborations with Swedish producers and songwriters such as Vincent Pontare, Salem Al Fakir, Carl Falk, Joakim Berg, Albin Nedler and Kristoffer Fogelmark.
To date, Avicii’s music attracts over 30 million monthly listeners on Spotify.
“We are investing to build a roster of the artists that shaped the sound of modern pop music.”
Johan Lagerlöf, Pophouse
Speaking of the acquisition of a controlling stake in Avicii’s catalog, Pophouse Head of Investments, Johan Lagerlöf, said: “We are investing to build a roster of the artists that shaped the sound of modern pop music. Artists that have songs and recordings that might be classics today and iconic tomorrow.
“Trailblazers of their times on a global scale. Such legacies should not just be remembered, they should be fully experienced in new and exciting ways. That’s the future we are shaping.”
Pophouse was founded in 2014 by EQT founder Conni Jonsson and pop music icon Björn Ulvaeus of ABBA.
The company is the lead investor behind the ABBA Voyage project in London, which houses a year-round ABBA Voyage concert featuring avatars of the group accompanied by a 10-piece live band.Music Business Worldwide