Published Nov 11, 2011It's been a rough couple of years for EMI, as the struggling label has faced mounting losses, was seized by Citigroup, and then went up for sale. Now, the company is finally being sold.
Universal Music Group, which is owned by French media conglomerate Vivendi, is poised to take control of EMI's recorded music division. That's right: the largest record company in the world is getting even larger. The sale is worth £1.2 billion, or just over $1.9 billion.
Vivendi also plans to sell $660 million worth of Universal's non-core assets.
As for EMI's publishing operation, reports indicate that Sony/ATV Music Publishing will be buying it for around $2.2 billion, according to the Wall Street Journal. This deal hasn't yet been officially announced, but the New York Times confirmed the news with a source apparently close to the matter.
This makes the total value of EMI's sale approximately $4.1 billion.
EMI also owns subsidiary labels like Parlophone, Virgin, Astralwerks, Blue Note and Capitol.
This is just the latest development in a trend of crumbling record labels that doesn't appear to be slowing down. The struggling Warner Music Group was sold earlier this year.