WMG Would Buy EMI If Deal With UMG Falls Through
February 23, 2012 at 3:45 AM (PT)
While UNIVERSAL MUSIC GROUP won the bidding for EMI MUSIC, BLOOMBERG reports "LEN BLAVATNIK, the billionaire owner of WARNER MUSIC GROUP, hasn't given up pursuing EMI GROUP's recorded music unit as its sale to VIVENDI SA [UMG's parent company] is scrutinized by regulators, three people with knowledge of the matter said."
The UMG/EMI deal must be approved in both the U.S. and EUROPE, and many organizations oppose the move. Earlier this week, The EUROPEAN lobbying group for independent record labels, IMPALA, has officially asked the EUROPEAN UNION to block the sale of EMI MUSIC to UNIVERSAL MUSIC GROUP (NET NEWS 2/21).
BLOOMBERG notes "WARNER MUSIC will seek to buy EMI's recorded-music business outright if its lobbying offensive succeeds in convincing the EUROPEAN COMMISSION and the FEDERAL TRADE COMMISSION in the U.S. to block the 1.2 billion-pound ($1.9 billion) deal, said the people, who declined to be named as the plans are private. WARNER would also be interested in buying major parts of EMI if the sale to VIVENDI's UNIVERSAL MUSIC GROUP is approved with the requirement to sell some assets, said the people."