Number 1 hit for Estera with £202.2 million IPO of Hipgnosis Songs Fund
Estera will administer a Guernsey fund investing in songs and musical intellectual property rights which was admitted to the London Stock Exchange on 11 July 2018 after raising £202.2 million. Hipgnosis Songs Fund Limited (Hipgnosis Songs) was founded by Merck Mercuriadis, the former manager of Beyoncé, Elton John, Morrissey, Iron Maiden and Guns N’ Roses.
Estera collaborated with investment adviser The Family (Music) Limited (TFM) on the launch of the first London-listed vehicle to offer an attractive and growing level of income and capital growth investing in music in the IPO of Hipgnosis Songs. Founded by Merck Mercuriadis, TMF counts in its advisory board music industry veterans as well as luminary Nile Rodgers.
Mariana Enevoldsen said, “We have a long track-record in providing administrative services to innovative alternative investment funds. Supported by a highly-credible advisory team which is deeply embedded within the music industry, Hipgnosis Songs answers ongoing investor demand for increasing levels of income and capital growth from assets which are completely uncorrelated to other investments.”
Merck Mercuriadis said "I am delighted that the investment community has given us it's overwhelming support to buy proven hit songs and demonstrate they are as investable and reliable as diamonds, gold and real estate. We could not have done this without the incredible efforts of James Christie and
Mariana Enevoldsen and their team at Estera and we look forward to continuing these great relationships going forward as we build our fund."
The Guernsey-registered business has today also announced that it will acquire its first music catalogue from Terius Youngdell Nash, better known by his stage name The-Dream. The company will acquire a 75% interest in the catalogue for up to US$23.75m. The catalogue comprises 302 songs in total, including songs performed by global recording artists including Justin Bieber, Beyoncé, Rihanna and Jay-Z. Songs include the number 1 singles: “Umbrella”, which was number 1 in more than 20 countries; “Single Ladies (Put a Ring on It)”, the 2010 Grammy Award Song of the Year; “Baby” which is the most certified song of all time; and the multi-platinum Touch My Body by Mariah Carey.
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