EMI Sale Talks Off
December 14, 2006 at 7:54 AM (PT)
EMI GROUP PLC has broken off talks with an unnamed bidder over the possible sale of the label. Reports indicate that private equity firm PERMIRA was the party with which EMI was negotiating. "The EMI Board has not received an offer that fully reflects the prospects for and value of the company and which it could recommend to shareholders," the company said in a press statement.
The news, which sent the company's shares plummeting in trading on THURSDAY, followed its revelation on NOVEMBER 28 that it had been approached by a would-be buyer. Reports at the time put the bid's value at about $4.8 billion; EMI earlier this year was involved in a battle with WARNER MUSIC GROUP that saw the companies trying to buy each other out.