(London) The American Concord announced Thursday that it will not improve its offer for the British music catalog fund Hipgnosis Songs Fund (HSF), owner of the titles of Shakira or Blondie, leaving the way clear for a buyout from nearly $1.6 billion by the Blackstone fund.
Alchemy Copyrights, a company known as Concord, “confirms that its offer of $1.25 per share of Hipgnosis is final and will not be increased,” the company said in a statement.
Its compatriot Blackstone announced at the end of April an improved buyback offer at $1.30 per share, or nearly $1.6 billion, recommended by the Board of Directors of Hipgnosis to its shareholders.
The takeover of the British company –– which has been in financial difficulties for months – was the subject of an auction last month between Blackstone and Alchemy Copyrights.
The fund co-created by the legendary musician Nile Rodgers and Merck Mercuriadis, ex-impresario of Beyoncé and Elton John, manages the rights to around 150 music catalogs and until a few months ago still claimed a net asset value of 3 billions of dollars.
After the announcement in December of a triple loss over one year, HSF, which also manages the catalogs of stars such as Justin Bieber and the Red Hot Chili Peppers, also announced last month that the valuation of its assets would be lowered by more than a quarter.
The acquisition by Blackstone is expected to close during the third quarter.