It’s been a big part of Hipgnosis’ identity ever since the innovative music rights company burst onto the scene in 2018: a black-and-white elephantine brand designed by the legendary Storm Thorgerson.
However, MBW understands that the logo – and the Hipgnosis name itself – will soon be consigned to history, as management plans a complete change in the firm’s identity.
We’re told the aim is to reflect the Hipgnosis business’s new structure following the take-private of the listed Hipgnosis Songs Fund.
As regular MBW readers will know, Blackstone, which was already the majority owner of Hipgnosis Song Management, acquired Hipgnosis Songs Fund from HSF’s public shareholders in July in a transaction worth USD $1.584 billion.
Since then, HSF’s 40,000 songs have been combined with the privately held Hipgnosis Songs Capital (aka Hipgnosis Songs Assets) – home to copyrights associated with Leonard Cohen, Justin Timberlake, Justin Bieber, Nelly Furtado, and Kenny Chesney – along with the investment adviser, Hipgnosis Song Management.
Formerly three distinct entities, they are now run as a single operation under the leadership of Ben Katovsky. Hipgnosis founder Merck Mercuriadis stepped down from the business in July.
(The two now-combined Hipgnosis copyright portfolios, according to a recent company announcement, are worth more than USD $3 billion, comprising many of “the most successful and culturally important songs of all time.”)
“A change is needed since the group now operates as an integrated business rather than a management company advising two funds.”
Hipgnosis source
MBW understands that Hipgnosis plans to reflect the unification of the management company and Hipgnosis’ two formerly separate portfolios (Hipgnosis Songs Fund and Hipgnosis Songs Assets) under a single, new name.
Internal discussions on the matter are well underway, we’re told, with an announcement on a new name expected around the turn of the year.
A source told MBW regarding the planned name and branding change: “A change is needed since the group now operates as an integrated business rather than a management company advising two funds.
“The existing names no longer accurately reflects the structure of the business.”
As reported by MBW in August, Hipgnosis is understood to have held talks with all three major music companies – plus their biggest rivals – over a potential multi-territory publishing administration partnership for the London-headquartered firm’s reverted catalogs.
Discussions are at an early stage and Hipgnosis is still considering what a new setup could look like or whether to continue with its current arrangements (at least for the time being), say sources.
In other Hipgnosis news, MBW understands that, although music’s M&A market remains slow (vs. the heydey of 2018-2022), when opportunities arise, the company is ready to buy both new catalogs… and potentially whole copyright portfolios.
“Hipgnosis is understood to have recently held talks with all three major music companies – plus their biggest rivals – over a potential multi-territory publishing administration partnership for the firm’s reverted catalogs.”
One source told MBW: “Not everyone in the [music copyright M&A] space has the capability or long-term ambition of Hipgnosis.
“In the coming years there are going to be opportunities [to buy] and the work Hipgnosis has done to its platform over the last two years means it will be ready and able to take advantage.”
As reported by MBW last month, the company still-currently-known as Hipgnosis Song Management has been on a hiring drive of late.
Last week the company announced it had promoted London-based Sara Lord to Chief Creative Officer.
Ben Katovsky said of Lord: “Sara has an outstanding track record and incredible knowledge of the creative industries. Hipgnosis owns many of the world’s most iconic songs and, as we seek to bring them to even wider audiences, building partnerships across these creative industries is a key part of our strategy.
“Sara is uniquely qualified to build these partnerships, while working closely with our songwriters and artists.”Music Business Worldwide