Private equity major Apollo Global Management has made a significant investment of $700m in Sony Music Group, providing its clients with another opportunity to access “high-grade” alternative assets, according to a report by Reuters.
Apollo did not disclose the specific terms of the deal with Sony, which represents artists such as Lil Nas X and Celine Dion.
The music industry has become increasingly attractive to investors seeking alternatives to traditional assets like stocks and bonds due to the lucrative streaming rights and consistent cash flows offered by the industry.
In a statement, Jamshid Ehsani, a partner at Apollo, said: “This investment allows our clients to invest in high-grade securities while helping Sony to execute its business plans.”
The Sony investment is not Apollo’s first in the media and entertainment sector, with the firm having backed HarbourView Equity Partners, a media and entertainment-focused investment firm, in 2021.
