Report: Terra Firma Wants To Settle With Citigroup
August 19, 2010 at 5:46 AM (PT)
TERRA FIRMA Chief GUY HANDS has reportedly approached CITIGROUP "about settling their legal battle over the firm's purchase of music giant EMI and restructuring billions of debt," reports THE NEW YORK POST. "Lawyers for TERRA FIRMA have requested a meeting with CITI's legal counsel to discuss burying the hatchet, according to sources."
Those discussions would likely include a reworking of the $3 billion bank loan that TERRA FIRMA obtained to purchase EMI three years ago.
The discussions would look to settle the lawsuit TERRA FIRMA filed against CITI, accusing CITI of tricking it into overpaying for EMI back in 2007. That lawsuit is set to go to trial in OCTOBER. It may serve to help CITI and EMI agree to a restructuring of the business and the debt.
In MAY, ALL ACCESS reported TERRA FIRMA CAPITAL PARTNERS LTD. had succeeded in its quest to raise £105 million ($156 million) to stave off a bank foreclosure on EMI GROUP (NET NEWS 5/11).