(Reuters) – Blackstone will cut its offer for the Hipgnosis Songs Fund by a cent to $1.31 from $1.30 in a revised bid that values the company at nearly $1.6 billion, the Financial Times reported on Monday.
The deal would require approval from 75% of the voting shareholders of Hipgnosis, which owns the music rights of artists such as Shakira and the Red Hot Chili Peppers, the newspaper reported, citing people familiar with the matter.
The offer will also require approval from the UK Takeover Panel and a deal could be announced as early as Monday, it said.
Blackstone (NYSE:) and Hipgnosis did not immediately respond to Reuters requests for comment.
Blackstone is a majority shareholder of HSM, an investment advisor to Hipgnosis that manages the fund’s artists and songwriters, and has a call option to make a higher offer on the Hipgnosis portfolio if their advisory agreement is terminated.
Hipgnosis, founded in 2018, launched a strategic review last year after a shareholder vote against continuing the fund led to a turbulent period and a dispute with HSM over a call option.