From Billboard
Kanye West has been quietly and intermittently shopping his publishing catalog — an asset that generates about $5 million a year for the hip-hop star, sources tell Billboard. Over the past 10 months, representatives for West have met selectively with prospective buyers to explore what kind of valuation his song catalog could fetch, these sources say.
While no price tag has been put on the catalog as far as Billboard’s reporting could determine, it is understood among those who’ve been queried about the catalog that the superstar is seeking an eye-popping valuation: as much as 35 times net publisher’s share, or gross profit. To entice buyers to pay that much — a multiple beyond the upper end of current catalog valuation pricing — sources say that the buyer would also get the opportunity to sign a go-forward publishing deal with the multi-platinum artist.
Billboard estimates that the songs in West’s catalog generates upwards of $13.25 million in publishing royalties annually. But because songs from his later albums can have anywhere from 10 to 24 songwriters credited for each song (including songwriters on the sampled songs), it’s difficult to come up with an exact valuation for his share of the publishing payday. Looking at the catalog piecemeal, Billboard estimates that West has a 35% share of the songwriting on his first four albums, while on the later albums, it appears he has a 20% share of the writing. Sources say West’s share comes to $5 million annually.
