Concord to Acquire Round Hill's UK-Listed Royalty Fund

Alchemy Copyrights, which trades as Concord, is set to acquire the entirety of Round Hill's UK-listed royalty fund, Round Hill Music Royalty Fund in a nesting doll-like move, with a company that acquires music rights acquiring a company that does the same.

Deal details: The deal values the entire issued and to-be-issued share capital of RHM at approximately $468.8 million. Under the terms of the deal, Round Hill’s scheme shareholders will receive $1.15 per share in cash, a value representing a 67% premium to RHM’s closing price on Thursday. RHM shareholders will vote on whether to accept Concord's cash offer next month, with the RHM Board intending to recommend that shareholders vote unanimously in favor.

The Round Hill Music Royalty Fund floated in November 2020 and currently owns 51 catalogues comprising of over 150,000 songs including tracks from Celine Dion, James Brown, Phil Collins and more. RHM also owns a stake in the Carkin catalog which includes songs from Johnny Cash, Aretha Franklin, Ella Fitzgerald, George Harrison, Elvis Presley and others.

Since 2015, Concord has deployed over $2 billion in capital to acquire music rights and companies. That includes the $550 million acquisition of Dutch music publisher Imagem in 2017 and a 2022 acquisition of music rights from Phil Collins and the band members of Genesis for around $300 million.

What they're saying: "Concord and its management have followed the progression of RHM since IPO and believe that RHM’s assets complement Concord’s long-standing objective to acquire high quality and long-term music assets," a statement from RHM reads. "Concord believes that the quality of RHM’s assets are consistent with Concord’s existing holdings, and creators connected to the rights acquired will benefit from the services of Concord’s existing creative and administrative support teams globally."