Bowie Bonds

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Bowie Bonds

An issue of bonds with a 10 year maturity collateralized by the royalties on all 25 albums David Bowie released before 1990. David Bowie issued the Bowie bonds in 1997 in order to raise the capital to buy the rights to a number of his songs owned by his former manager. In exchange, Bowie gave up the royalties to the songs he did own for a period of 10 years. Since 2007, Bowie has owned the royalties to all of his songs. Bowie bonds were one of the first bond issued collateralized by intellectual property, though several such bonds have been issued since.

Bowie Bonds

Debt securities collateralized by future earnings of singer David Bowie's song catalog. Issued in 1997, Bowie Bonds established a new category of securitized debt in which entertainers sold future royalties to investors. Similar bonds were subsequently created for the song catalogs of James Brown, the Isley Brothers, and the estate of Marvin Gaye.
References in periodicals archive ?
I'm fully confident that copyright, for instance, will no longer exist in 10 years, and authorship and intellectual property is in for such a bashing.'' His foresight of eventual change in the music industry is why he had decided to cash in on his fame five years earlier by putting around 300 of his recordings and copyrights into a so-called Bowie bond for $55m.
He will become the first rock star to sell himself on the Stock Exchange, in a pounds 30 million Bowie Bond Issue.
In 1997, famous Musician and song writer David Bowie came up with a new scheme to generate cash from his extensive back catalogue .He sold asset-backed securities dubbed Bowie bonds which awarded investors a share in his future royalties for 10 years.
Structured Asset Sales is owned by David Pullman, an investment banker who in 1997 oversaw a $55 million sale of "Bowie Bonds" that made David Bowie the first musician to sell bonds backed by royalties from his catalog.
In 1996 he offered "Bowie bonds", giving investors a share in his future royalties for 10 years.
It is interesting to note that securitization of intellectual property has been recognized as a promising way to leverage it ever since 1997's introduction of the "Bowie bonds," securities backed by revenues generated by the first 25 albums of musician David Bowie.
Roger Crombie's column ("Bowie Bonds Rock Secure," March 2004), is the latest example.
Glam rock pioneer David Bowie, long famous for his innovative music and embrace of the new, became the first songwriter in history to use derivatives to securitize future royalties from his own song catalog when he created "Bowie Bonds" in 1997.
They set up a bond offering with David Pullman, maestro of the so-called "Bowie Bonds" with David Bowie, though, Brian Holland notes, "that's a tricky situation.
AmRe's securitization is similar to "Bowie Bonds," bonds that were based on the future revenue stream of recordings by singer David Bowie, Hartwig said.
He recently, in conjunction with a US Investment Bank, issued $55M in 15-year Bowie Bonds.
The Bowie bonds were so successful that Nomura have now established a billion-dollar fund in their first year of operation.