NEW YORK (CelebrityAccess) — Kobalt Capital Ltd., the Kobalt-affiliated music royalties investment advisor, announced that it has closed its second managed fund to invest in music copyrights, with a stake of $600 million.
The fund, led by UK pension fund, RPMI Railpen (Railpen), along with other institutional investors, includes equity commitments of $345 million as well as debt to fund acquisitions in copyrights in order to collect royalties payments on the material.
RPMI Railpen is also a stakeholder in Kobalt Capital’s previous $350 million fund, suggesting that they are sanguine about the new fund's prospects.
Willard Ahdritz, founder and CEO of Kobalt and CIO of Kobalt Capital Ltd, revealed in an interview with TechCrunch last week that the original fund had been fully invested in over 100 acquisitions and now owns a stake in copyrights for material from artists such as Steve Winwood, Lindsey Buckingham (Fleetwood Mac) and the B-52s.
“I’m not allowed to tell you about the returns as we are regulated and I’m under orders not to disclose it, but I can tell you that we have been delivering the stated returns to investors,” Ahdritz told TechCrunch. “That’s why our main investor from Fund I invested in Fund II.”