Universal Bids Nearly $2 Billion For Bertelsmann Music Publishing
July 21, 2006 at 6:09 AM (PT)
According to REUTERS, VIVENDI's UNIVERSAL MUSIC has made a bid of close to $2 billion in the auction of BERTELSMANN AG's MUSIC PUBLISHING arm. WARNER MUSIC and BC PARTNERS are also in the running with bids coming in between $1.5 million and $2 million, according to the FINANCIAL TIMES.
The article says that EMI GROUP is working with private equity group KRR on a plan to provide services to BMG MUSIC PUBLISHING. That leaves VIACOM out of running now, as well as a proposed management buy-out led by BMG MUSIC PUBLISHING's Chief Executive NICHOLAS FIRTH.
Impala May Challenge BMG Music Publishing Sale
Meanwhile, FORBES is reporting that indepent music lobby group IMPALA, which last week forced an EU Court overturn of the 2004 sale approval and a new review of the merger of SONY and BERTELSMANN, is threatening to challenge BERTELSMANN's planned sale of its BMG MUSIC PUBLISHING.
IMPALA represents small labels and music publishers, and regarding the sale, it told the FINANCIAL TIMES it "would strengthen existing collective dominance in publishing (and) would be unable to obtain regulatory approval."