MERCK'S BIG YEAR
Merck Mercuriadis’ Hipgnosis Songs Fund Limited has delivered to shareholders a 41% total return since inception, and in the last fiscal year, and grown its net asset value by 11% in the 12-month period that ended in March.
Hipgnosis has released its annual figures, noting that the total NAV return hit 15.7% as of 3/31, that streaming income was up 18.4% in the second half of the fiscal year vs. the first six months, and that the portfolio now includes 138 catalogs with about $2b invested. Value of the catalogs is just above $2.2b.
Net revenue in the year increased substantially, to $138.4m.
“With all our catalogs chosen due to their extraordinary success and cultural importance, extra-high levels of streaming demand are a natural feature,” Mercuriadis said.
“This accelerated growth leaves us well positioned for the future, with increased expectations for income over the long term. Concurrently we’ve felt some temporary decline in our performance income consistent with the entire industry, but we expect that to turn around by the autumn.”
During the year, the company acquired 84 catalogs for an aggregate purchase price of $1.06b. Acquisitions included works by Neil Young, Lindsey Buckingham, Blondie, Shakira and 50 Cent.
