Concord Music has increased its bid for troubled music royalties trust, Hipgnosis days after a rival bid from Blackstone.
On Wednesday (April 24), Concord Bidco upped its cash offer to $1.25 (£1) per share, up from its previous offer of $1.16 last week.
Since its previous offer was approved by the Hipgnosis board, a rival bid from Blackstone was lodged on April 21.
In response to the latest Concord bid, Blackstone said it is considering its options.
A trading update today (April 25) read: "Blackstone strongly advises Hipgnosis shareholders to take no action and is considering its options. A further announcement will be made in due course.”
However, an update from Hipgnosis directors said they unanimously consider the terms of the increased Concord offer to be fair and reasonable.
An additional statement published today (April 25) showed CCLA Investment Management has agreed to sell its shareholding in Hipgnosis to Concord for $1.25 per share.
This is expected to be completed by May 8 and will be excluded from the shares in question under the proposed offer.
Hipgnosis was launched in 2018 by Merck Mercuriadis, a former manager of Beyonce, Nile Rogers and Elton John.
In October 2023, the £1bn fund’s shareholders voted for it to be wound down.
tara.o'connor@ft.com
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