UK-listed Round Hill fund raised US $ 86.5 million in a new equity placement, well exceeding its minimum goal of raising $ 50 million.
The news is further proof of positive investor sentiment regarding music rights today, and follows Hipgnosis Songs Fund also surpassing its minimum target for a stock issue earlier this month. (Hipgnosis was aiming for $ 210 million, but due to an oversubscribed funding round, ended up with $ 215 million.)
Round Hill’s new share issue will allow it to place 86.5 million C shares in Round Hill Music Royalty Fund Limited (RHM) at $ 1.00 per share.
The company says it intends to use the money, combined with financing from a credit facility, to “help acquire [our] short-term copyright pipeline in accordance with RHM’s investment policy.
British listed company acquired a 29% stake at Carlin Music (RH Carlin Holdings LLC) in May.
Carlin owns 100,000 song rights, including hits made famous by Elvis Presley, Johnny Cash, Aretha Franklin and Meatloaf.
To date, the UK fund Round Hill’s initial strategy has been to acquire all of the assets – including Carlin himself – which are owned by private Round Hill funds in the US.
In May, the company’s UK fund announced it had spent $ 282 million on it, acquiring the rights to 18,000 songs.
Carlin was initially acquired by a US Round Hill fund in 2018 for around $ 245 million.
Round Hill said it had raised $ 291 million for its third U.S.-based private fund in the fourth quarter of last year.
In February of this year, American company Round Hill Music announced the launch of Sound Hill, a new neighboring rights division for artists and performers.Music trade around the world