Report: Citigroup Wants Bids For EMI By Next Week
July 22, 2011 at 3:56 AM (PT)
ALL ACCESS reported TUESDAY (NET NEWS 7/19) that WARNER MUSIC, one of the rumored suitors for EMI, may not have the assets to make the deal. So who does? Someone will need to step up quickly, as "CITIGROUP, after quietly talking to interested parties about its music asset EMI for months, now wants to fast-track the bidding process and is hoping to close the sale as soon as LABOR DAY," THE NEW YORK POST reports..
Sources told the paper that the bank wants preliminary bids readied by JULY 28th.
Along with WMG, names expressing interest include "UNIVERSAL MUSIC GROUP, SONY CORP. and KKR-BERTELSMANN-backed BMG RIGHTS," writes the POST. "It couldn't immediately be determined if other bidders who lined up for WMG's sale earlier this spring -- like RON PERELMAN's MACANDREWS & FORBES, THE GORES GROUP, RON BURKLE's YUCAIPA COS. and PERMIRA -- will return to put in bids for EMI."
While some speculate the record company and its publishing arm could be broken up, ALL ACCESS reported in APRIL (NET NEWS 4/12) that CITIGROUP, which took control of EMI from British financier GUY HANDS earlier this year, will seek a buyer for the entire music company rather than selling it off in pieces. EMI Chief Executive ROGER FAXON has been arguing the case for months that a breakup would hurt the U.K.-based label while CITI has pondered the best way to recoup the cash it has tied up in EMI after loaning HANDS billions for the buyout.