April 29 (Reuters) - Blackstone has agreed to

acquire Hipgnosis Songs Fund ( HPGSF ) for about $1.57 billion,

trumping an offer from Concord in the battle for the music

rights owner of artists such as Shakira and Red Hot Chili

Peppers, the companies said on Monday.

Blackstone's formal offer valued the music rights investor

at $1.30 per share, the companies said, higher than Concord's

$1.25 per share offer last Wednesday.

The deal will see more than 65,000 songs, including tracks

by Blondie and Neil Young, added to Blackstone's music rights

portfolio, which already includes songs by Justin Bieber and

Justin Timberlake.

Concord declined to comment.

The sweetened offer on Monday by Blackstone, the world's

largest private equity firm, comes days after Concord outbid the

PE firm by 10 cents and also won Hipgnosis's board backing for

the deal.

The fund's board withdrew its recommendation for the offer

from Nashville-based music firm Concord.

Blackstone is a majority shareholder in Hipgnosis'

investment adviser, HSM, which manages artists and songwriters

for the fund and holds a call option to make a higher offer for

Hipgnosis' portfolio if their advisory agreement were to be

terminated.

The Blackstone proposal is independent of HSM.

Hipgnosis, founded by industry veteran and ex-CEO Merck

Mercuriadis in 2018, started a strategic review last year after

a shareholder vote against the continuation of the fund led to a

tumultuous period and a dispute with HSM over the call option.

HSM had earlier warned Hipgnosis against terminating the

advisory agreement as the previously agreed Concord deal

involved the U.S.-based firm taking over the management of

Hipgnosis' assets.