Sony closes $2.2-bn purchase of EMI Publishing
30 Jun 2012
An investor group led by Sony Corporation of America, a wholly-owned subsidiary of Japanese electronics giant Sony Corporation has completed the acquisition of 114-year old London-based gramophone company EMI's music publishing business for approximately $2.2 billion, as the final hurdle for the purchase has been cleared by US regulators.
Sony bought the EMI Music Publishing from Citibank Inc, EMI's present owner, which acquired the music company from its private equity owners in February 2011.
The US competition watchdog Federal Trade Commission (FTC), said in a statement Friday that it has closed its investigation of Sony/ATV Music Publishing's proposed acquisition of EMI Music Publishing, without taking any action and accordingly the deal may now proceed as proposed.
Through the acquisition Sony has become the owner of the world's biggest collection of music publishing assets with copyrights of around 2 million.
Sony will own a 40-per cent stake in the business with the remaining interest held by other partners including US billionaire and music enthusiast David Geffen, Blackstone's GSO Capital Partners, Abu Dhabi's Mubadala Development and Hong Kong-based investment firm Jynwel Capital.
EMI's copyright portfolio of around 1.3 million hit songs will be housed by Sony/ATV Music Publishing, a joint venture of Sony and Michael Jackson estate.
Sony's president and CEO Kazuo Hirai said: "Music publishing, along with the rest of our entertainment companies, has been a bright spot in our business portfolio, and we expect that trend to continue with this important acquisition.''
