From Digital Media Wire…
EMI Accepts $4.7 Billion Buyout From U.K. Private Equity Firm
Submitted by Mark Hefflinger on May 21, 2007 – 12:22pm.
London – Major record label EMI announced on Monday that it has accepted a buyout offer of about $4.7 billion from British private equity firm Terra Firma.
The company had received a number of other offers, most notably from fellow major label Warner Music Group; other suitors included Cerberus Capital Management, Fortress Investment Group and One Equity Partners.
“Terra Firma’s offer is the most attractive proposal received and delivers cash now, without regulatory uncertainty and with the minimum of operational risk to the company,” said EMI chairman John Gildersleeve.
“The global music industry is undergoing significant change and, whilst EMI is confident in its ability to deliver its recently announced restructuring plans, significant uncertainty exists as to the timing and extent of future market developments.”
The takeover announcement comes as EMI reported a $568 million loss for its fiscal year, as compared with a profit of $170 million in the year prior, and sales of $3.6 billion, down from $4.1 billion last year.
http://www.dmwmedia.com/news/2007/05/21/emi-accepts-4-7-billion-buyout-from-u-k-private-equity-firm
