After Terra Firma (an equity company) got pissed at CITI for buying into the all but bankrupt EMI, and sued em, the other shoe has dropped as CITI have bought up EMI, saving them from, well, bankruptsy!!
We got this off pitchfork who got it off Billboard:
“Citigroup has recapitalized EMI in a debt-for-equity swap. According to Billboard, a press release says that “the company’s debt has been reduced by 65% from £3.4 billion to £1.2 billion, and the company has in excess of £300 million of cash available”. EMI Group CEO Roger Faxon will remain in power, as well the company’s current management.
Faxon says, “The recapitalization of EMI by Citi is an extremely positive step for the company. It has given us one of the most robust balance sheets in the industry with a modest level of debt and substantial liquidity. With that solid footing, we are confident in our ability to drive our business forward.”
Of course, this could be all leading up to Citi selling EMI to Warner brothers!!!
Should be an interesting negotiation…