Carey Olsen advises Hipgnosis songs fund on us$1.4 billion takeover

The proposed takeover, announced by the Boards of Hipgnosis and Concord Chorus Limited ("Concord") on April 18, 2024, entails Concord's recommended cash offer of $1.16 per share, subject to various approvals including shareholder, regulatory, and court sanction. If finalised, the transaction will result in Concord, backed by long-term financing partner Apollo Capital Management LP, acquiring the entire issued share capital of Hipgnosis.

In response to Concord's offer, Blackstone Europe LLP ("Blackstone") put forth a proposal to acquire Hipgnosis at an offer price of US$1.24 per share. The Hipgnosis Board subsequently expressed its inclination to recommend the Blackstone proposal, pending Blackstone's confirmation of a firm intention to proceed with the offer on those terms.

The Carey Olsen team, led by partner Tony Lane and senior associate James Cooke, is advising Hipgnosis on the Guernsey aspects of the takeover. This collaboration with onshore counsel Shoosmiths LLP underscores Carey Olsen's expertise in navigating complex corporate transactions, particularly in the investment company sector.

Tony Lane, commenting on the advisory role, highlighted Carey Olsen's commitment to assisting the Hipgnosis Board in optimising shareholder returns. He noted the firm's extensive experience in handling takeover activities, particularly within the investment company sector, which has witnessed a surge in consolidations and public-to-private transactions.

The proposed takeover represents a significant development in the music IP investment landscape, signaling potential growth and consolidation within the industry. With Carey Olsen's guidance, Hipgnosis aims to navigate this transformative transaction successfully, ensuring value maximisation for its shareholders amidst evolving market dynamics.