LONDON (CelebrityAccess) — The Board of Hipgnosis Songs Fund announced they have delayed the publication of the financial results from the last six months, after an external auditor valued the company at a higher price than recent asset sales appeared to indicate it was worth.
Per Hipgnosis, the valuation the company received from its independent assessor was “materially higher” than its own assessment, raising doubts about the price of recent asset sales made to the company’s own investment advisor.
Hipgnosis’ Board went on to point at the proposed sale of assets to Hipgnosis Songs Capital for $417.5 million, a price which reflects a discount of 24.3% from the assets valuation as of March 31st, 2023 and the recent sale of non-core assets of $23.1 million, reflecting a 14.2% discount from the estimated value as of September 30th, 2023.
Following the independent valuation, Hipgnosis board sought advice from Hipgnosis Song Management on its opinion of the independent auditor’s estimates.
“Hipgnosis Song Management eventually provided an opinion, which was heavily caveated, such that the board has concerns as to the valuation of the company’s assets in its interim results,” Hipgnosis board said in a statement released on Tuesday.
Hipgnosis will now release its financial results for the 6 month period ending on September 30th on December 31st.
