Northern Songs goes public on the London Stock Exchange

2 BEATLES MAY GO ON SALE

THE public may soon be able to share in the success of the Lennon-McCartney song-writing team.

For shares in their company — Northern Songs Ltd., which has earned the Beatles nearly £1,500,000 over the past two years— are likely to be put on the Stock Exchange market.

As a preliminary move, the £1 shares have already been broken down into one shilling units.
Beatles manager Brian Epstein, who with music publisher Dick James and the two Beatles co-directs the company, said last night: “I cannot say anything at this stage about it.“

From Daily Mirror – January 19, 1965

Beatle Budget says Please, Please Me

WHILE wedding bells ring out for Mr. Ringo Starr, let’s take a look at the fortunes of the Beatles.

For sure, John Lennon and Paul McCartney are sitting pretty.

They will soon cash in on their ability to write hit numbers by selling shares in Northern Songs, Ltd., on the Stock Exchange—a deal which should value their talents at £400,000 apiece.

On top of this they stand to gain excellent royalties from their Maclen (Music) Co., which sells at least six songs a year to Northern Songs.

But what of Ringo and the other Beatle, George Harrison?

The Beatles’ accountant, Mr. James Isherwood, who master-minds all these deals, has no doubts in his mind that Ringo and George are first-class instrumentalists with a big future in films.

How soon bridegroom Ringo can cash in on his talent must depend on Chancellor of the Exchequer Mr. James Callaghan.

If his Budget does not clobber stock markets too badly next April, then all four stand a chance of bringing shares in their master company, Beatles Ltd., to investors in one form or another.

And in spite of the City’s traditional distrust of show business, there will be paper fortunes all round.

From Daily Mirror – February 12, 1965

How safe are the Beatles?

TODAY is decision day for Beatles fans—and genuine investors—who will be able to buy shares offered by Northern Songs, the near £2,000,000 company which publishes hits written by John Lennon and Paul McCartney.

Applications for the shares—minimum 200 at 7s. 9d. each costing £77 10s.—must be in to the Midland Bank new issue department by ten on Thursday morning.

The decision to buy is a tricky one. For while share dealers expect a Beatlemania stampede, all the panjandrums of City opinion from the Financial Times to the Investors’ Chronicle have given Northern Songs the thumbs down.

They have panned it to a man.

Of course, the shares are a great gamble. John and Paul could be gone and forgotten a couple of years from now. Or they could grow up into a Gilbert and Sullivan, a Rodgers and Hammerstein.

The same is true of most new businesses offering shares on the Stock Exchange whether they are in food, fashion or furniture.

Profits roll in only so long as the men at the top come up with new ideas, new products.

But there is this vital difference: other firms have solid assets, factories, warehouses, shops and stocks which shareholders can sell off or switch into a new trade if the directors flop.

Northern Songs owns no factories, no shops — only a little cash and a lot of genius.

It is because there are no tangible assets that I say leave these shares alone unless you are wealthy enough to afford a downright gamble and don’t mind losing the lot.

BEATLEMANIA made money even for the waxworks last year. Madame Tussauds, whose profits jumped £34,000 to a record £204,000, say the models of John, Paul, George and Ringo are still the star attraction.

From Daily Mirror – February 16, 1965

THE flood of applications for shares in Northern Songs — which owns fifty-six tunes composed by Beatles John Lennon and Paul McCartney — was not nearly as big as expected.

But the 1,250,000 shares offered for sale at 7s. 9d. each were sold out several times over.

From Daily Mirror – February 19, 1965

BEATLE SHARES NOT A BIG HIT

IT was a hard day’s fight for Beatles John Lennon and Paul McCartney in the City yesterday.

Shares in Northern Songs, which publishes their hit tunes, got a cool reception on the Stock Exchange. Opening price was 8s., against the 7s. 9d. at which they were offered.

Then they fell to 7s. 6d., before closing at 7s. 7½d.

This 1½d. fall wipes £4,687 from the value of the shares Paul and John own in the company.

From Daily Mirror – February 27, 1965

Beatles’ Northern Songs Offered As Public Issue

LONDON — In what is certainly a precedent-breaking move, two of the songwriting Beatles (Paul McCartney and John Lennon) have broadened their horizons and have become full-fledged international financiers.

Northern Songs Ltd., a pubbery whose sole assets consist of the copyrights to 56 songs written by the above-mentioned Beatles, has been organized and is offering stock to the public on the London Exchange.

Application lists opened last week (18) for 1,250,000 ordinary 28¢ shares at $1.09 of Northern Songs. The first British publishing operation to go public, the firm is owned by Paul McCartney, John Lennon, Beatles manager Brian Epstein and Dick James Music Ltd.

The prospectus issued in London by Solomon & Co. announces that if projected profits for the year ended April 30, 1965 ($1,540,000) are maintained, the stock will yield on the basis of 27½% dividend forecast, a net return of 7.1%.

It is anticipated that net profit for the year to April 30, 1966 will be around $1,120,000. Estimate is based on the present Lennon-McCartney copyrights held by the pubbery and does not include future works.

The prospectus further revealed that Lennon and McCartney have assigned rights to their compositions to Northern for three years from Feb. 28, 1963, with a right to renewal for an additional three years, subject to payment of royalties therein mentioned.

Stock offer is part of an intricate deal with Maclen Music, a wholly owned American subsidiary, which has now become part of the cartel. Maclen is entitled to the Lennon-McCartney songs for a period of eight years from Feb. 11.

Maclean has agreed to sign to Northern full copyrights in all future Lennon-McCartney accepted by the company at a minimum rate of six songs a year. Composers have guaranteed Maclean’s obligation.

Dick James Music Ltd. has been appointed manager of the company up to Feb. 10, 1973, at a remuneration of an amount equal to 10% of the gross receipts of the company from all sources. This remuneration will be reduced by 2½% in respect of receipts accruing from all sources in the United Kingdom and Eire after Feb. 10, 1969. Under the terms of the agreement James is responsible for the cost of promotion of the compositions and certain management expenses.

In the initial offering, minimum stock purchase must be 200 shares. Additional shares can be obtained in round lots of 100.

From Cashbox – February 27, 1965

NORTHERN SONGS HIT A LOW NOTE

YOU just can’t get away from those Beatles… While they soak up the Bahamas sunshine with Donald Zec (See Page 5), I report that back in the City a chill is cast over their fortunes.

John Lennon and Paul McCartney now show a loss on paper of £23,437 each on shares in the Northern Songs firm which publishes the hit numbers they compose.

The shares, offered to investors a fortnight ago at 7s. 9d. each, slipped to 7s. 1½d. last night—another 3d. down on the day.

John and Paul own 750,000 shares each—still worth £267,187. I can reveal that George Harrison and Ringo Starr have lost money, too, for both bought shares in the company.

Managing director Dick James is not unhappy. “I have never known a music publishing company to go bankrupt,” he says.

I would not be surprised to see George Harrison signed up in the company with John and Paul.

For George has written three songs himself. One called “Don’t Bother Me” went on to an EP disc. The other two may be used in a film.

Ringo? He has been working on a country and western number for a couple of years now. When asked about its progress he usually says: “It’s coming along fine.“

From Daily Mirror – March 5, 1965

Beatles top the City chart

THE Beatles were voted top of the pops in the City yesterday.

Northern Songs, the company that own all Beatles John Lennon and Paul McCartney tunes, have handsomely beaten their profits and dividend forecast made last February, when shares in the company were offered to the public for the first time.

Accountant Mr. Emanuel Silver, chairman of Northern Songs, revealed that its 72 world copyrights on Beatles’ songs pulled in profits of £620,000 last year.

This is a hefty £70,000 higher than the £550,000 estimated six months ago.

Biggest money spinners? A company spokesman named them last night as:—

“Can’t Buy Me Love,” “I Want To Hold Your Hand,” “All My Loving,” and “She Loves You.”

Shareholders, who include John, Paul, George and Ringo, collect a bigger than promised pay out.

They pocket 7¾d. a share against 6½d. forecast in February.

John and Paul each kept 750,000 shares when Northern Songs became a public company. On each of those holdings the dividend is worth £24,375 before tax—£3,750 more than forecast.

In stock markets last night Northern Songs shares — which were offered to investors at 7s. 9d. and fell to 5s. 11¼d. one time — were unchanged on the day at 7s. 10½d.

Not enough to make shareholders twist and shout with joy, perhaps—but good enough to stop them crying “Help.”

From Daily Mirror – August 25, 1965