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KBRA Assigns Preliminary Ratings to Lyra Music Assets (Delaware) L.P., Series 2025-1

via Business Wire

KBRA assigns preliminary ratings to the Series 2025-1, Class A-2 Notes (Series 2025-1 Notes) that will be issued by Lyra Music Assets (Delaware) L.P., a music royalty ABS securitization.

The Series 2025-1 Notes represent Lyra Music Assets (Delaware) L.P.'s second music royalty securitization, following the inaugural Series 2024-2/3 Notes. The transaction structure is a master trust, and as such, the indenture permits the issuance of additional classes and series of notes subject to certain conditions, including rating agency confirmation. Proceeds from the transaction will be used to fund the reserve accounts, pay certain transaction expenses, and for other general corporate purposes.

The transaction will be collateralized by royalties from a music catalog of premium content from top artists and songwriters, including the Red Hot Chili Peppers, Journey, Justin Bieber, and Shakira, which are among the largest in the Catalog by net publisher share and net label share. Royalty payments include both publishing rights and sound recording rights. As of March 31, 2025, an independent third-party valuation firm valued the Catalog at $2.95 billion using a discounted cash flow method.

To access ratings and relevant documents, click here.

Click here to view the report.

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Disclosures

Further information on key credit considerations, sensitivity analyses that consider what factors can affect these credit ratings and how they could lead to an upgrade or a downgrade, and ESG factors (where they are a key driver behind the change to the credit rating or rating outlook) can be found in the full rating report referenced above.

A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at www.kbra.com.

About KBRA

Kroll Bond Rating Agency, LLC (KBRA), one of the major credit rating agencies (CRA), is a full-service CRA registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a Designated Rating Organization (DRO) by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized as a Qualified Rating Agency by Taiwan’s Financial Supervisory Commission and is recognized by the National Association of Insurance Commissioners as a Credit Rating Provider (CRP) in the U.S.

Doc ID: 1010476

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