Madonna set to sign $120 million deal with Live Nation
Madonna Remaking the Brand
by Natalie Finn
The Material Girl is about to ensure that she has more material than ever to market in the coming decade.
Madonna is reportedly poised to leave her longtime recording home, Warner Music Group, to ink an ultra-lucrative $120 million, 10-year deal with the concert-promoting behemoth Live Nation Inc. that would net her cash, stock options and a one-stop shop for recording, touring, licensing and merchandizing deals.
The package includes a general advance of $17.5 million and advance payments of $50 to $60 million for three studio albums, according to the Wall Street Journal, which first reported the pending deal.
People familiar with the deal told the WSJ that Madonna, whose Confessions tour was one of the top acts of 2006, will get to keep 90 percent of the grosses if and when she tours again, with the remaining 10 percent going to Live Nation, which is expected to pay $50 million in cash and stock for the right to promote her concerts.
Profits from products that utilize Madonna’s name and image and other licensing ventures will be split evenly between artist and company.
