“To fuel its growth, HSF has repeatedly tapped investors for cash to make new acquisitions, but it has since burnt through its funds and is unable to raise more because its stock price has fallen,” is how the FT summarized the situation. “Pro forma royalty revenues from its catalogue have fallen for the past two years and the cost of servicing its $600mn of debt is rising. It has not bought a new song for more than a year.”
Source: Financial Times explores the growing pains of Hipgnosis – Music Ally