Music services company Kobalt is raising a big round that could exceed $100 million
London-based music services company Kobalt - founded in 2000 is reportedly raising a new round of funding that could surpass $100 million. Kobalt operates as both a music publisher and a service-based music company — among other things, it helps artists collect their royalties.
The new funding comes about one year after Kobalt closed on its most recent funding, which valued the company at roughly $800 million.
A large part of Kobalt’s appeal to investors, as well as the artists, publishers and labels that are among its customers, is the content management system it has created and that makes it far easier and more transparent to capture the millions of incremental plays happening across streaming platforms like Apple Music, Spotify and Soundcloud — then to collect money where it is due.
The company is made up of numerous parts, including Kobalt Music Publishing; Kobalt Neighbouring Rights; a recorded music division called AWAL and a collection agency that Kobalt acquired in 2015, AMRA. Kobalt also oversees Kobalt Capital, an acquisitive fund managed by KMG.
Kobalt’s investors to date have included GV; Section 32, whose founder, Bill Maris, was previously the CEO of GV; Hearst Entertainment; Balderton Capital; and MSD Capital, a private investment firm that exclusively manages the capital of Michael Dell and his family.