Carey Olsen advises Hipgnosis Songs Fund on proposed US$1.4 billion takeover
Carey Olsen's corporate team in Guernsey is advising Hipgnosis Songs Fund Limited ("Hipgnosis"), a Guernsey-registered, GFSC-regulated and LSE-listed music IP investment and song management company, on a proposed takeover.
The Boards of Hipgnosis and Concord Chorus Limited ("Concord") announced on 18 April 2024 that they had agreed the terms of Concord's recommended cash offer of $1.16 per share, which remains subject to shareholder approval, regulatory approval and the sanction of the Royal Court of Guernsey. If completed, the transaction will see Concord, with support from its long-term financing partner Apollo Capital Management LP, acquire the entire issued share capital of Hipgnosis.
Subsequently, Blackstone Europe LLP ("Blackstone") announced that it had made a proposal to the Hipgnosis board to acquire the company at an offer price of US$1.24 per share. On 22 April 2024 the Hipgnosis Board announced that the Blackstone proposal was at a value that it would be minded to recommend, if Blackstone announces a firm intention to make an offer on those terms.
Working alongside onshore counsel Shoosmiths LLP, the Carey Olsen team advising Hipgnosis on the Guernsey aspects of the takeover is led by partner Tony Lane and includes senior associate James Cooke. Tony Lane also led the team which acted on the takeover of the other LSE-listed music royalty fund, Round Hill Music Royalty Fund Limited, which completed in October 2023.
Tony Lane commented: "We are delighted to be assisting the Hipgnosis Board in its aim to maximise the return to shareholders. We have been involved in a significant amount of takeover activity in the past 12 months, particularly in the investment company sector which has seen a number of consolidations and public-to-private transactions."
