Northern Songs take control of two American music companies

LENNON-McCARTNEY FIRM: TAKE-OVERS

THE John Lennon – Paul McCartney music publishing company, Northern Songs, has brought control of two American music companies — Sweco Music Corp, and Cole and Gale Music Inc. It has also purchased British rights to a third U.S. publishing concern, Comet Music.

Between them the three companies own well over 100 songs, many of which were made famous by the late Nat “King” Cole.

On behalf of Northern Songs, publisher Dick James is also understood to be negotiating for the considerable music publishing interests of Philip Solomon. They include several songs recorded by the Bachelors, the late Jim Reeves and Twinkle.

Philip Solomon has bought a 20% interest in Radio Caroline, and will concentrate most of his activities on the pirate station in future.

From New Musical Express – February 25, 1966

BEATLES’ SONG PROFITS UP

Northern Songs, the public company in which the Beatles have a substantial interest and which handle the McCartney-Lennon songs, have today published a Big Beat report which forecast higher profits and dividends for the current year.

Pre-tax profits for the six months to September 31 were £204,893 against last year’s £238,534. And the directors forecast profits for the year of £560,000. An interim dividend of 24 per cent is declared and a final of 16 per cent is forecast. This would bring the total to 40 per cent against 32 per cent last year. An investment of £100 in the company a year ago would now be worth about £220.

Northern Songs have also announced that they had bought the whole of the music catalogues of three United States companies from the estate of the late Nat King Cole and Mr Jack Gale.

From Evening Post – February 22, 1966

Nat King Cole hits bought up by the Beatles

THE Beatles’ song company has bought the rights to many of the hit numbers recorded by the late Nat King Cole. The deal was announced last night by Northern Songs, which owns all the music written by John Lennon and Paul McCartney.

Northern Songs managing director Dick James went on to forecast that the company would make £560,000 this year. This is £160,000 more than was predicted last August.

Before the announcement Northern Songs shares were quoted on the Stock Exchange yesterday at 17s. 6d. each. This is 9s. 9d. more than the price at which they were first sold to investors a year ago. Which must make John and Paul very happy. For they started with 750,000 shares each. They are now worth £656,250 — on paper — to each of them.

From Daily Mirror – February 22, 1966

Northern Songs break into U.S.

One year after making its public appearance, Northern Songs, the beneficiaries of the songwriting abilities of Beatles John Lennon, Paul McCartney and, more recently, George Harrison, announces the negotiation of a deal for the companies owned by the estate of the late Nat King Cole and Mr Jack Gale.

To effect the arrangement Northern Songs has formed two new subsidiaries in the United States which have acquired the whole of the music catalogues of Comet Music Corporation, Sweet Music Corporation and Cole and Gale Music Distributors Inc.

The terms of the acquisition are not yet known, but the Northern Songs chairman, Mr E. C. Silver, says details will be circulated to shareholders shortly.

Northern Songs’ expansion news accompanies the announcement of a maiden interim dividend of 24 p.c. which makes allowance for the transitional provisions of the Finance Act, and the forecast of a final payment of 16 p.c. Thus a total distribution of 40 p.c. for 1965-66 will compare with last year’s single dividend of 32 1/2 pc. and at 17s 9d — the offer for sale price was 7s 9d—the yield is 4 1/2 p.c.

Taxable group earnings for the first half year’s trading at £205.000 compare with £238,000, but the forecast for the year is now of profits of not less than £560,000 against the prospectus forecast of £400,000, and of £621,000 for 1964-65.

From Liverpool Daily Post – February 22, 1966