Could EMI Music Publishing Get A New Partner?
May 27, 2010 at 5:14 AM (PT)
Has EMI MUSIC PUBLISHING caught the eye of an investor? THE NEW YORK POST reports people familiar with the matter say "KOHLBERG KRAVIS ROBERTS is in talks to buy a stake in EMI MUSIC PUBLISHING and combine those operations into a separate entity that would be 51% controlled by EMI, while the rest would be held by BMG RIGHTS MANAGEMENT, the music-publishing outfit KKR currently owns."
ALL ACCESS reported KKR, through its BERTELSMANN AG unit, was involved in talks with EMI in MARCH (NET NEWS 3/17). KKR (KOHLBERG KRAVIS ROBERTS & CO) created a joint venture in JULY 2009 to own and manage publishing rights with BERTELSMANN AG, the former part-owner of RCA RECORDS.
"This move does not surprise me," a source said. "EMI only got enough money to survive another six months before they need to raise money again," an unnamed source told THE POST. The report goes on to say KKR "was in no rush to strike a deal with EMI." "They're not going to be aggressive here," the source said.