EMI To Be Sold By Citi As One Unit
Citigroup (C.N), which got control of the world’s fourth-largest record company EMI from British financier Guy Hands in February, plans to sell the company as a whole, the New York Post reported, citing sources.
EMI Chief Executive Roger Faxon has been arguing for months that a breakup would hurt the UK-based label, the Post added.
In February, the bank cut EMI’s debt by 65 percent from 3.4 billion pounds ($5.47 billion) to 1.2 billion pounds through a debt-for-equity swap. The label had been suffocating under a burden of debt borrowed from the U.S. bank in a 2007 leveraged buyout by Guy Hands’ Terra Firma. [ID:nLDE71023X]
Both Citi and EMI were not immediately available for comment outside regular U.S. business hours.