Sony Exploring Sale of Music Publishing Unit, Leaked Emails Show

[ivy]

So universal music purchased EMI? when did that happen?

yes universal purchased EMI's music division in 2012. Sony and partners acquired EMI publishing.

if they can buy that, why can't they purchase Sony's portion of the ATV catalog?

universal already has the second biggest music publishing. If they bought Sony's portion of ATV catalog they would almost be a monopoly or reduce the number of companies. FTC wouldn't approve such purchase.

 

[Tygger]

Tygger, I was simply curious about what you base this statement on:

You did not say "In my opinion the EMI stake is not for sale" but stated this as if it's a fact, that's why I was curious if you have any information to back that up or anything. You made it clear you have nothing to back it up, it was only speculation on your part. That is enough to me.

laughs

My first post in full below. I never wavered.

Respect77, hopefully one day you will learn that when speculation happens, one view is not more valid than another. Bloomberg's speculation that you agreed with is not more valid than mine.

Let it go.

Tis interesting.

It is clear Sony is looking to sell assets because of their failing electronics division. The failure is there, not necessarily in the Sony/ATV catalog and/or EMI Publishing.

Sony/ATV and EMI does need a restructuring of its business model so as to be more effective and reflective of the current climate. I wish them luck there. I believe the current reports are combining the revenue/operating profit of Sony/ATV and EMI as a music publishing total which speaks to that restructuring need. I have not seen any numbers for Sony/ATV solely as of yet.

While some are speculating Sony may have been looking to sell its EMI stake, that is speculation indeed and I would disagree with that angle. The Sony/ATV catalog would be one of the more profitable assets for Sony to sell and far easier because it has two owners. If Sony decides to sell Sony/ATV, I am sure the MJ Estate would agree quite readily and it will be a joint sale. (Adding: Sony/ATV would most likely be absorbed by EMI Publishing.)

Provided that time arrives, I can understand some fans being outraged as it would be their right. I would remind them however that while Michael preferred not to sell his assets and did what he could to save them, Sony and Michael's estate does not necessarily have any personal attachment to such assets. (See Neverland.)

If Sony is inclined to sell to save their failing electronics division, so be it.

 

[HIStory]

laughs

My first post in full below. I never wavered.

Respect77, hopefully one day you will learn that when speculation happens, one view is not more valid than another. Bloomberg's speculation that you agreed with is not more valid than mine.

Let it go.

No, speculations are not necesseraly all equal. There are speculations which are supported by more facts than others. IMO Bloomberg's is a bit more supported than yours by what was written in the e-mail about the complex ownership being one of the reasons of the sale, but that is actually besides the point. The point is that Bloomberg did not state it as a fact that Sony will sell the EMI stake but not the original Sony/ATV part. They were just wondering about it, not making definite statements about it. You however did make the impression with that statement you made "Their EMI stake is not for sale." as if you know something for a fact. That was the difference between your speculation and Bloomberg's. However, now we managed to make it clear that your statement was nothing but speculation as well, so that is OK to me.

 

[barbee0715]

It seems to me that Sony should worry more about fixing their "failing electronic division." Maybe they need new execs that understand the PS world (that all goes over my head) and not sell a sure thing asset like the publishing catalogs.

 

[Tygger]

Respect77, again (hopefully for the last time), Bloomberg speculated Sony was considering selling their EMI stake. We do not know if that is true however; you agree with it and that is fine. That is their interpretation of some segment of the leaked emails that I have not seen. That is why I asked if anyone had a link to the leaked email(s) so it can be reviewed.

My original post stated I disagreed with that speculation and gave my view. Anyone reading this thread saw that; twice now as I reposted it.

If you do not agree with my view, fine however; spinning my view by taking one sentence out of context and connecting the “you are saying it is fact” whine is futile. If you have a personal issue with my speculative post(s), it is more productive to report the post(s) than derail a thread with your whine about it.

 

[Bubs]

Sony music honcho plugs leak on sale
By Claire AtkinsonJanuary 9, 2015 | 11:42pm

The head of Sony’s music publishing business said it’s not for sale — despite leaked emails showing the parent company weighed unloading the division late last year.

“I have been advised by Sony Corp. that Sony/ATV is not for sale,” Sony/ATV boss Martin Bandier said in an internal memo to staffers on Friday.

Sony/ATV had its best year ever in 2014 — both financially and creatively — with a roster of hot young acts, including Charli XCX, Iggy Azalea, Sam Smith and Meghan Trainor, according to Bandier, who has run the business since 2007.
“Who wouldn’t want to own a company like that, including Sony Corp.?” he quipped.

As recently as November, Sony executives discussed selling Sony/ATV, in part because of its complex ownership structure, according to emails stolen by hackers.

Sony/ATV is a joint venture between Sony Corp. and the estate of Michael Jackson. Sony is also part-owner of EMI’s former publishing assets, alongside David Geffen, Abu Dhabi’s investment vehicle Mubadala and other investors.

“I’d like to hear your thoughts on the music publishing business, which has a rather complex capital and governance structure and is impacted by the market shift to streaming,” Sony’s chief financial officer, Kenichiro Yoshidaon, wrote in a leaked Oct. 3 email.

Sony’s US based chief financial officer, Steven Kober, wrote back that he was surprised because a potential sale was a “top secret project,” known to only Michael Lynton, the head of Sony’s entertainment business, and Nicole Seligman, Sony’s US president.

http://nypost.com/2015/01/09/sony-music-honcho-plugs-leak-on-sale/

 

[ivy]

The head of Sony’s music publishing business said it’s not for sale — despite leaked emails showing the parent company weighed unloading the division late last year.
“I have been advised by Sony Corp. that Sony/ATV is not for sale,” Sony/ATV boss Martin Bandier said in an internal memo to staffers on Friday.

http://nypost.com/2015/01/09/sony-music-honcho-plugs-leak-on-sale/

Sony Corp. (6758) has no plans to sell the music publishing business that controls rights to songs from the Beatles and Taylor Swift, as was suggested by leaked e-mails, Sony Entertainment Chief Executive Officer Michael Lynton said.

Sony’s music-publishing business, the largest in the world, has a catalog of more than 2 million songs. Music publishers collect songwriting royalties from album sales, use on TV and other performances.

E-mails and documents released in the cyber-attack on Sony mentioned a “top secret” plan to sell the music publishing business because it had few growth prospects, Bloomberg News reported last month. Top management at Tokyo-based Sony was concerned about the complex ownership and governance of the business.

In an Jan. 8 interview, Lynton said a sale isn’t under consideration.

http://www.bloomberg.com/news/2015-...ll-music-publishing-business-lynton-says.html

 

[Tygger]

Great news! In this situation, the leaks had a most positive effect.

Michael's beneficiaries can rest easy about the future of their share in this asset for now which is grand.



Adding: remainder of the Bloomberg article......



Music publishing accounts for 14 percent of Sony’s music revenue, with recorded music generating the larger part. The business includes Sony/ATV Music Publishing, a joint venture with the estate of Michael Jackson, and EMI Music Publishing, in which Sony has a 30 percent stake.

Sony/ATV CEO Martin Bandier said in a memo to staff on Jan. 9 that he’s been advised by Sony Corp. that the venture isn’t for sale, the New York Post reported.

Sony/ATV was established in 1995 in partnership with Jackson, who had acquired rights to the Beatles songs a decade earlier.

Sony’s Partners

In 2012, Sony paid $2.2 billion for the larger EMI Music Publishing, along with investors including Jackson’s estate, Blackstone Group’s GSO Capital Partners LP, entertainment mogul David Geffen and Mubadala Development Co., owned by the Abu Dhabi government. Sony/ATV administers EMI on behalf of the investors.

The combined Sony publishing business represents stars from Bruce Springsteen to Lady Gaga and songs including “New York, New York,” “Jailhouse Rock” and “I Heard It Through the Grapevine.”

Sony and Jackson’s estate each own half of Sony/ATV, which contains more than 750,000 songs, according to a 2012 press release. EMI Music Publishing has 1.3 million songs in its catalog.
http://www.bloomberg.com/news/2015-...ll-music-publishing-business-lynton-says.html

 

[Tygger]

Another positive effect of the leaked emails! It seems Sony will now focus on a restructuring of its business model so as to be more effective and reflective of the current climate.

I am unclear as to what "Anglo-American repertoire" refers to. I was not aware the anglo term was still being used.

Sony/ATV hires former PRS exec Moses Martiny
Sony/ATV Music Publishing has appointed Moses Martiny to the role of vice president digital, Europe.

In this newly created position, Martiny will be responsible for negotiating terms with digital service providers for new digital music products and services.

The services will be administered via SOLAR, the joint venture between UK collection society PRS for Music and German society GEMA, which was set up last year to provide services for Sony/ATV and EMI’s pan-European licensing of its Anglo-American repertoire.

Martiny previously worked at PRS for Music, which he joined in 2013 as head of business development. Before PRS, he was director of digital business development at EMI Music and the Parlophone Label Group.

Discussing the hire, Sony/ATV EVP of digital and society relations Europe, Antony Bebawi, said: “I am delighted that Moses has joined us. He brings a complementary set of skills and valuable experience to our team which will further enhance our growing digital licensing business and help us to continue to deliver improved results for our songwriters during these exciting yet challenging times for the music business.”

Martiny said: “I am excited to join the renowned team at Sony/ATV. As the leading music publisher Sony/ATV is playing a key role in enabling and shaping the expanding digital music eco-system. The challenge is to support a vibrant and growing market, while also ensuring fair compensation to the creators of music.

"I look forward to working closely with digital services and Sony/ATV’s industry partners to evolve the European digital music landscape.”
http://www.musicweek.com/news/read/sony-atv-hires-former-prs-exec-moses-martiny/060616