McDaid has co-written songs with Ed Sheeran, Pink, Shawn Mendes, Robbie Williams and Snow Patrol that have streamed more than 20 billion times and earned some 600 platinum awards and 14 diamond awards.
Hipgnosis has acquired McDaid’s interest in his catalogue of songs released before 1 April 2019, which comprises 91 songs.
Collaborating closely with Ed Sheeran since 2013, McDaid co-wrote the most streamed song of all time with the record breaking Shape Of You which to date has been streamed more than 2.3 billion times.
Merck Mercuriadis, founder of The Family (Music) and Hipgnosis Songs Fund, which is listed on the London stock market, said: "It's hard to have some of the biggest songs in the world and yet still be so underrated but Johnny is one of the most extraordinary creators and his work with Ed and so many others speaks for itself and it's an honour to welcome him and Erik to the Hipgnosis family."
McDaid was represented by his manager Erik Eger, business manager Kevin McCullough, lawyer Willie Ryan, and spearheaded by attorney Michael Poster of Michelman and Robinson.
Eger said: "Merck's background as an artist manager enabled him to quickly understand what was important to Johnny in this deal and deliver on it. Johnny and I are encouraged by Merck's mission of advocating for songwriters and wish him every success in this endeavour."