Some catalogues on the ANote Music platform come with a Buyback Option. This means the original offeror of the royalty shares (such as a publisher, record label, or artist) may retain the right to repurchase the catalogue shares from the market.
How it works
If this option is exercised:
- The original offeror can buy back all outstanding royalty interest shares.
- The repurchase price will include a minimum 15% premium over the volume-weighted average price (VWAP) of trades executed on the Secondary Market during the last 30 calendar days.
- The VWAP and applicable price are calculated by ANote Music, based on actual trading activity. If trading volumes are too low or inconsistent to establish a fair value, ANote may apply an alternative calculation method to determine the fair market value of the catalogue shares.
- Outstanding orders in the market are cancelled.
- The buyback payment will be distributed to all owners of the remaining catalogue shares as an extraordinary final royalty payout, before the actual transfer of ownership of the repurchased shares.
- The exercise of the buyback option may also shorten the original contract duration. Please refer to the catalogue’s contracts for full legal terms.
Important to know
- The availability and specific terms of the Buyback Option depend on each catalogue’s listing contracts.
- To check if a catalogue includes this feature, visit the catalogue page and look for the "Catalogue features" section.
For further questions, contact support@anotemusic.com.