Hipgnosis Songs Fund Limited has provided an update on its strategic review following the vote against the company continuing as a closed-ended investment company at its Annual General Meeting. The board intends to appoint independent advisers to conduct due diligence on the company's assets, which will provide a knowledge base for identifying and bringing forward alternative proposals for the future of the company. The board has also requested that Hipgnosis Song Management Limited, the company's investment adviser, proposes alternative terms for their future investment advisory arrangements.
The company is currently undertaking an audit tender process for the 31 March 2024 audit, as PwC has indicated that it will not be participating in the tender. The new auditor will be confirmed in due course.
In addition, Hipgnosis Music Limited, which has been in liquidation since March 2018, has served proceedings against Mr. Mercuriadis, the investment adviser, and the company in the English High Court. The claim alleges a diversion of business opportunity from Hipgnosis Music Limited to the company and the investment adviser, as well as an unlawful assistance by the company in this alleged diversion. Mr. Mercuriadis, the investment adviser, and the company deny these claims and intend to vigorously defend them. The company is not insured for the costs of dealing with this claim.
For further information, please contact Hipgnosis Songs Fund or its corporate brokers.