Pophouse Entertainment, a Swedish investment firm co-founded by ABBA’s Björn Ulvaeus, has successfully raised 1.2 billion euros (approximately 1.3 billion US dollars) for its inaugural fund.
On Monday (March 31), the Stockholm-based company announced that Pophouse Fund I has reached 1 billion euros (1.1 billion dollars), achieving its hard cap. This marks Pophouse as “one of the largest funds in Europe for music investment.”
Additionally, Pophouse has allocated an extra €200 million (216 million dollars) through specialized vehicles for co-investment, providing investors the chance to invest alongside the fund and to participate in selected transactions.
Investment Focus and Partnerships
The fund will be utilized to acquire musical catalogs and intellectual property (IP). Pophouse has already deployed about 30% of the fund in collaborations with prominent artists such as American rock band KISS, pop icon Cyndi Lauper, and Swedish electronic dance music legends Avicii and Swedish House Mafia.
The company highlighted that it continues to forge additional partnerships with some of the most recognizable and influential names in the global music industry.
Founded by ABBA’s Björn Ulvaeus and EQT’s Connie Johnsson, Pophouse is led by CEO For Sandin and chaired by Lennart Bleher, head of real assets at EQT.
For Sandin, previously managing director at Universal Music Sweden and President of Universal Music Nordic, describes Pophouse as “the first label-head partner with Spotify” who signed Avicii while he was still an emerging artist.
In a statement, Lennart Bleheers emphasized that his experience and strategic insight will be invaluable as Pophouse embarks on this new phase marked by successful fundraising efforts.
According to Pophouse, the firm employs an “artist-oriented” approach to investing, focusing on three primary rights within the music investment sphere: publishing rights, recording rights, and NIL (name, image, and likeness) rights.
Beyond passive ownership of catalogs, Pophouse aims to create value for its artists and investors through the active utilization of acquired IPs. Initiatives such as ABBA Voyage in concert featuring digital avatars of the legendary Swedish pop group, and the Avicii Experience dedicated to the deceased DJ, exemplify this strategy.
“We are changing the entertainment industry by applying an active approach to value creation, which opens up future generations to fandom.”
Connie Johnsson, Pophouse
This capital increase comes as more investors consider music rights as attractive investment opportunities.
Pophouse asserts that it has taken on the complex environment to attract private capital and has engaged a diverse and prestigious global base of investors, including leading pension funds, family offices, high-net-worth individuals, and sovereign wealth funds, all aligned with Pophouse’s unique artist-oriented investment strategy.
“In the face of unprecedented disruptions brought about by streaming and technology, music’s intellectual property offers a differentiated, long-lasting opportunity for investors,” stated co-founder Connie Johnsson.
“By investing in publishing, recording, and brand rights, Pophouse is creating a unique future not just for investors, but for artists as well, allowing them to explore and enhance their legacy for new generations of fans.”
Johan Lagerlof, Fofus
Johan Lagerlof, managing partner of Pophouse, emphasized: “Our investment strategy in publishing, recordings, and brand rights creates an attractive opportunity for both investors and artists, enabling them to connect and solidify their heritage with new fan bases.”
“We express our gratitude to our investors for their confidence in our world-class investment and creative teams. We anticipate an exciting journey ahead as we continue to collaborate with an array of outstanding artists worldwide.”
“Our successful fundraising of over 1.2 billion euros for our debut fund marks an extraordinary milestone that solidifies Pophouse as a global leader in music investment.”
Natalia Fontcha, Fofus
Natalia Fontcha, partner and head of capital raising and investor relations, remarked, “Attracting more than 1.2 billion euros for our debut fund is an extraordinary milestone that firmly positions Pophouse as a leader in the music domain.”
“The commitment and enthusiasm of our team are remarkable, and I extend our sincere gratitude to our investors for their trust and partnership.”
“Looking ahead, we aim to drive innovation while pushing the creative and technological boundaries, reshaping the entertainment landscape during this transformative era for music, while delivering attractive returns for our investors.”
The ABBA Voyage concert series, launched in May 2022, showcases digital renditions of the iconic Swedish pop group, performing seven nights a week in its customized ABBA arena, which hosts 3,000 attendees in East London.
In 2023, Aniara Ltd., the British holding company behind ABBA Voyage, reported pre-tax profits of GBP £6.07 million ($7.5 million), up from £2.99 million in 2022. Revenue for 2023 increased by 6.7% year-on-year to £103.67 million ($129 million).
Over its first year, ABBA Voyage attracted 1 million visitors, with 20% traveling from outside the UK. The concert experience involved Agnetha Fältskog, Björn Ulvaeus, Benny Andersson, and Anni-Fried Lingstad, directed by Bailey Walsh and produced by Svana Gislan and Ludwig Andersson.
Last year, Pophouse acquired the song catalog and the name, image, and likeness of the legendary rock group KISS, further collaborating with the Swedish company on an Avatar concert featuring digital representations akin to ABBA Voyage.
Lucas focuses on the interaction between music and society. He specializes in how music influences and reflects cultures, analyzing the role of sound in social, political, and cultural events around the world.
