Kean Cipriano addresses mrld's departure from O/C Records, 5% royalty issue

Kean Cipriano has addressed the controversy surrounding mrld's departure from OC Records, particularly the issue involving her alleged share of only 5% in royalties.

In an interview with "Fast Talk with Boy Abunda" on Thursday, Kean said that the music industry operates through a complex business model that goes beyond music and involves several income streams.

"We all know that the business model of this industry is not that simple. It has many facets, especially in the music business," Kean said in Filipino.

He explained that the reported 5% royalty refers to royalties from the original sound recording (OSR) and an artist's income also comes from other sources such as live performances, publishing, and endorsements.

Tito Boy then asked whether the reported 5% royalty also applied to an artist's earnings from live gigs.

"No, definitely not," Kean replied, explaining that management typically receives around 20% to 30% from an artist's bookings, leaving around 70% to 80% for the artist.

The former Callalily frontman likewise clarified that endorsement deals generated by an artist's success are not simply divided into 5% for the artist and 95% for the management.

Asked how he felt about accusations that he exploited mrld, Kean admitted that the allegations hurt him.

"It hurts because, at the end of the day, I'm also an artist," he said.

Kean said that when he and his wife, Chynna Ortaleza, established their record company, they did so with their perspective as artists in mind.

He added that aside from giving artists creative freedom, they also wanted to help guide them toward having professional and sustainable careers.

Kean maintained that people may only be seeing one side of the story and said he would rather address concerns privately than engage in social media drama.

"If there's a problem, if there are concerns, if there's a negotiation or anything, come to the office and let's talk," he said.

When Abunda asked Kean if he believed he had been fair to mrld, the singer and businessman firmly answered yes.

"Of course, Tito Boy. We didn't take anything that we weren't supposed to take," he said. "Our conscience is clear, and the company's integrity is clean when it comes to that aspect."

GMA News Online has reached out to mrld but she has yet to respond as of this writing.

In March, mrld announced that she is now an independent artist after her contract with O/C Records expired.

"I deserve more than 5% of the songs I wrote and produced," she said. "I deserve more for all the hard work I put on for my name."

"I didn't go independent because I'm selfish and want revenge. I went independent because my family needs to eat and live. 'Di kami mabubuhay sa barya lang," she added.

She also said she asked several times for a meeting but "it’s always a no show."

Meriel De Jesus or MRLD is know for her hit songs "Sandali," "An Art Gallery Could Never Be As Unique As You," "Ligaya," and "Lihim." —Jade Veronique Yap/MGP, GMA News