Duetti Secures $114 Million in Fresh Funding to Boost Music Rights Acquisitions
Written by djfrosty on October 29, 2024
Duetti, a fintech platform that lends money to independent artists in exchange for stakes in their back catalogs, said Tuesday it secured $114 million from investors led by Create Music Group-backer Flexpoint Ford.
Co-founded by former Tidal COO Lior Tibon and former Apple Music business development executive Christopher Nolte in 2023, Duetti is the latest company in the indie music sector to capitalize on the flood of financing and interest coming from institutional investors and private equity firms.
Duetti said it raised $34 million in an equity financing from Flexpoint Ford, Nyca Partners and Viola Ventures. Chicago-based Flexpoint Ford invested $165 million in Create Music Group earlier this year. Duetti also secured $80 million through a privately rated asset-backed security, structured and placed by Barclays.
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This is Duetti’s second publicly-disclosed fundraise — last year it raised $32 million from investors including Roc Nation, Viola Ventures and Presight Capital — and its first ABS. Duetti chief executive Tibon described the combination of equity investments and ABS financing as more efficient, and said in a statement that it will help them to “accelerate [the company’s] acquisition of music catalogs and expand its proprietary forecasting, pricing, sourcing, and marketing technology.”
“We believe we are leading the way in educating the capital markets on the significant long-term value of the independent music sector,” said Tibon. “The number of independent artists is growing at an unprecedented rate, and Duetti is here to ensure they have access to differentiated financing solutions.”
Duetti says it works with 500-plus artists, including MC Delux, SadBoyProlific and Savannah Dexter, purchasing their tracks or entire master catalogs, in exchange for funds that typically range from $10,000 to $3 million. Through digital marketing campaigns like playlists and channels on Spotify and YouTube, along with traditional sync placements and better distribution, Duetti says it helps artists grow their audience, thereby generating more streaming revenue and a profit for their investors.
Flexpoint Ford managing director Mike Morris called Duetti one of the fastest growing rights music rights companies in recent years.
“We see tremendous potential in their ability to provide scalable, data-backed solutions that address the evolving needs of musicians today,” Morris said in a statement.