PR release :
INVESTOR GROUP INCLUDING SONY CORPORATION OF AMERICA ENTERS INTO
DEFINITIVE AGREEMENT TO ACQUIRE EMI MUSIC PUBLISHING FROM CITI
New York, London and Abu Dhabi -- An investor group comprised of Sony Corporation of America
(“SCA”
, in conjunction with the Estate of Michael Jackson; Mubadala Development Company
PJSC; Jynwel Capital Limited; the Blackstone Group’s GSO Capital Partners LP; and David Geffen
(the “Group”
announced today the execution of a definitive agreement, whereby the Group will
acquire EMI Music Publishing from a wholly-owned subsidiary of Citigroup, Inc. (“Citi”
for total
consideration of $2.2 billion.
The transaction is subject to certain closing conditions, including regulatory approvals. Following
the acquisition, Sony/ATV Music Publishing and its strong and experienced management team will
help oversee EMI Music Publishing on behalf of the Group. Sony/ATV Music Publishing is coowned
by subsidiaries of SCA and trusts formed by the Estate of Michael Jackson.
EMI Music Publishing is a world-leading popular music publisher with a vast collection of musical
compositions and a roster of highly talented songwriters. The business represents and administers
one of the world’s most comprehensive and diverse catalogs of over 1.3 million music copyrights
covering all genres, periods and territories of the world.
EMI Music Publishing represents some of the most successful writers working in the music industry
today including Beyoncé, Drake, Jay-Z, Norah Jones, Alicia Keys, P!nk, Scissor Sisters, Rihanna,
Stargate, Usher, Kanye West, Pharrell Williams, Tinie Tempah, Duffy, Arcade Fire, Dallas Davidson,
Don Omar, Alan Jackson and Hillary Scott. Its remarkable catalog spans the decades with some of
the greatest hits dating from the early 20th century right up to today. EMI Music Publishing holds
rights to some of the greatest Motown hits from the 1960s including Baby Love, Heard It Through
The Grapevine, and My Girl, as well as other timeless standards, such as Bohemian Rhapsody,
Every Breath You Take and You’ve Got A Friend. Its catalog is home to a wide range of film and
TV scores, including some of the most recognizable songs of all time such as New York, New York,
Over the Rainbow and Have Yourself A Merry Little Christmas.
Rob Wiesenthal, Chief Financial Officer, Sony Corporation of America, said: “EMI Music Publishing
is an iconic company with legendary copyrights and world-class executive talent. This transaction
reinforces our strategy of building the operational breadth of Sony/ATV Music Publishing while
tapping the extraordinary expertise and experience of Marty Bandier and his management team.
Access to entertainment content is an important part of a great consumer electronics experience,
and the impressive growth of digital music services will help us bring our songwriters’ music to an
increasingly wide audience."
Martin Bandier, Chairman and CEO of Sony/ATV Music Publishing, added: “EMI Music Publishing
has some of the best songs and artists in the world. I am excited to be reunited with the incredible
songs, writers and people of a company I helped build. Our track record at Sony/ATV over the past
four years demonstrates our ability to build a strong platform that sustains significant growth.
The opportunity represented by this transaction is both transformative for Sony/ATV and a truly
special moment for me, personally.”
Stephen Volk, Chairman of the Board of EMI Group and Vice Chairman of Citigroup, added: “After
evaluating all alternatives, we believe that this transaction achieves our objective of maximizing the
value of EMI for Citi while providing EMI Music Publishing with a partner in the Sony consortium
that appreciates this wonderful business, its incredible roster of songwriters both new and old, and
its staff who work so hard to deliver successful outcomes for the people they represent. We are
grateful to Roger Faxon, his management team and all of EMI’s staff for the continued success of
this business during Citi’s ownership."
Citi Global Banking acted as financial advisor to Citi and EMI. Clifford Chance LLP, Shearman &
Sterling LLP and Freshfields Bruckhaus Deringer LLP acted as legal advisors to Citi and EMI. The
Raine Group, Peter J. Solomon Company, UBS Investment Bank, and Guggenheim Securities, LLC
acted as financial advisors to the Group. UBS Investment Bank acted as sole lead arranger of the
senior credit facilities. Dewey & LeBoeuf LLP and Weil, Gotshal & Manges LLP acted as legal
advisors to the Group.
Sony Corporation of America
Sony Corporation of America, based in New York, NY, is the U.S. subsidiary of Sony Corporation,
headquartered in Tokyo, Japan. Sony is a leading manufacturer of audio, video, communications,
and information technology products for the consumer and professional markets. Its motion picture,
television, computer entertainment, music and online businesses make Sony one of the most
comprehensive entertainment and technology companies in the world. Sony's principal U.S.
businesses include Sony Electronics Inc., Sony Computer Entertainment America LLC, Sony
Pictures Entertainment Inc., and Sony Music Entertainment. Sony recorded consolidated annual
sales of approximately $87 billion for the fiscal year ended March 31, 2011, and it employs 168,200
people worldwide.
Sony/ATV Music Publishing
Sony/ATV Music Publishing was established in 1995 as a joint venture between Sony and trusts
formed by Michael Jackson. Sony/ATV Music Publishing owns or administers over 750,000
copyrights by such artists as The Beatles, Akon, Beck, Brooks & Dunn, Leonard Cohen, Neil
Diamond, Bob Dylan, Fall Out Boy, Lady Gaga, Kraftwerk, Jessie J, John Mayer, Joni Mitchell,
Graham Nash, Willie Nelson, Roy Orbison, Linda Perry, Richie Sambora, Shakira, Taylor Swift,
Wyclef Jean, Hank Williams and KT Tunstall, among others. Sony/ATV recently acquired both the
Leiber Stoller and Famous catalogues.
http://www.sony.com/upload/assets/homepage_assets/EMI_Joint_Release_FINAL.pdf