Feeds

Citigroup clutches EMI to bosom

And you thought that we were faking, that we were all just money-making

Security and trust: The backbone of doing business over the internet

Ownership of EMI, home of The Beatles, Pink Floyd and Sir Simon Rattle, has passed into the hands of US mega money corp Citigroup.

EMI said in a statement today that Citigroup had acquired 100 per cent of its share capital, and completed a recapitalisation of the debt-laden music group.

Through this, the group's debt has been cut by 65 per cent to £1.2bn, and EMI has £300m of cash available to help it develop new artists and/or digitally remaster and repackage its back catalogue. Existing management will stay in place.

The takeover of what is arguably the UK's most iconic record label by Citigroup follows a long-running spat between the bank and the label's previous owner - Guy Hands' Terra Firma investment group. Citigroup had backed his takeover of EMI back in 2007.

“Citi today took ownership of MAL (Maltby Acquisitions Ltd), the holding company that controls EMI," said Citi vice chairman Stephen Volk.

"In the process, the previously unsustainable debt load at EMI was reduced by 65 per cent, leaving the company with a strong balance sheet and the ability to invest in and grow its business. This is a positive development for EMI, its employees, artists, songwriters and suppliers.

Volk is now chairman of MAL, and added: "Our objective is to have EMI perform its absolute best for our shareholders over time."

Funnily enough, EMI struck a new deal with Pink Floyd last month. Pink Floyd had a famous song called Money. Apparently it's the root of all evil today. ®

New hybrid storage solutions

More from The Register

next story
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Found inside ISIS terror chap's laptop: CELINE DION tunes
REPORT: Stash of terrorist material found in Syria Dell box
OECD lashes out at tax avoiding globocorps' location-flipping antics
You hear that, Amazon, Google, Microsoft et al?
Show us your Five-Eyes SECRETS says Privacy International
Refusal to disclose GCHQ canteen menus and prices triggers Euro Human Rights Court action
prev story

Whitepapers

Providing a secure and efficient Helpdesk
A single remote control platform for user support is be key to providing an efficient helpdesk. Retain full control over the way in which screen and keystroke data is transmitted.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Security and trust: The backbone of doing business over the internet
Explores the current state of website security and the contributions Symantec is making to help organizations protect critical data and build trust with customers.