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 ?
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.
was retained as placement agent for the 1997 Bowie Bond deal, had each of his twenty-five causes of action as well as his claim for over two billion dollars in damages against The Rascoff/Zysblat Organization, Prudential Insurance and four other defendants, summarily dismissed on all counts.
Beginning with the Bowie bonds in 1997 and continuing to the present time, interest has escalated in intellectual property asset-backed securities.
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.
Rod will follow in the footsteps of pal David Bowie, who raised a staggering pounds 30million last year by selling his own Bowie bonds.
By selling shares in the future value of his various business enterprises, the Bowie Bonds, as they were called, helped Bowie overcome the pain of all those lost Bowie bucks back in the '70s.
Two years ago he issued so-called Bowie Bonds to the public, banking pounds 34 million cash - money loaned against future royalties.
The asset-backed securities can also be pooled with other CAK/UCC loans and offered to investors, much as the so-called Bowie Bonds were marketed.