By Sabela Ojea

Universal Music Group is acquiring a significant stake in Chord Music Partners, an intellectual property catalogue, for $240 million.

The world's largest music company on Tuesday said that the deal to own a 25.8% stake in Chord, formed in 2021 by KKR and Dundee Partners, follows the sale of a stake of 74.2% to Dundee Partners.

Universal Music's agreement for the minority stake acquisition values Chord, whose portfolio includes The Weeknd, Lorde and John Legend, at $1.85 billion.

The company and Dundee Partners will enter into a new long-term strategic partnership to actively manage Chord's rights through UMG's global network and to acquire additional catalogs via Chord in the future, the company said.

Chord's music publishing rights will be administered through Universal Music Publishing Group and recorded music through UMG's Virgin Music Group.

Write to Sabela Ojea at; @sabelaojeaguix

(END) Dow Jones Newswires

02-20-24 1255ET