'The drama may not be over yet': Apollo-backed offer could spark bidding war for Hipgnosis Songs

All eyes on HSM and Blackstone

Hipgnosis Songs Fund's (SONG) share price has soared by nearly a third on the back of a $1.4bn deal to acquire the trust, with potential for the offer to spark a bidding war.

After enduring months of turmoil, investors in the £1.6bn music royalties trust are hoping the Apollo-backed deal proposed by Concord Chorus finally puts an end to the saga. The cash offer values each Hipgnosis share at $1.16, or 93p, a 32% premium to its closing price on Wednesday (17 April), and 2.8% above the recent Shot Tower valuation report.  "Given all the issues SONG has faced, this represents a solid outcome for SONG's shareholders if there are no further twists," said Liberum analyst Shonil Chande. "Given where the shares languished, achieving a value for the whole portfo...