Music business EMI group has been split into EMI Music and EMI Music publishing divisions, with EMI Music being sold to Vivendi’s Universal Music Group for $1.9 billion, and EMI publishing division was sold to an investor consortium led by Sony Corporation for $2.2 billion, Citigroup has announced. This brings the total deal value of the label to $4.1 billion.
EMI Music: EMI Music, EMI group’s recorded music division has record labels such as Astralwerks, Blue Note, Capitol Records, Parlophone, and Virgin Records. Vivendi stated that it will finance this transaction from its existing credit lines and the company will concurrently sell $687.75 million worth of non-core Universal assets as part of the deal.
EMI Music Publishing: While Sony is a minority partner in the consortium which bought EMI Music publishing division, the division will be managed under Sony’s ATV publishing business. Other members in the consortium include estate of Michael Jackson; Mubadala Development Company PJSC; Jynwel Capital Limited; the Blackstone Group‘s GSO Capital Partners LP; and David Geffen. The music publishing division currently has a catalog of over 1.3 million music copyrights covering all genres, periods and territories of the world. This includes songs from artists like Beyonce, Drake, Jay-Z, Norah Jones, Alicia Keys, and Pink.
Hungama-EMI Music: Previously, EMI Music had signed a deal with Hungama, according to which the latter was in charge of digital music distribution from EMI Music and EMI’s licensing partner Warner Music Group for four countries – India, Pakistan, Sri Lanka, and Bangladesh.
Sony’s ATV business had also recently entered India by forging an alliance with Sony Music Entertainment India, according to which Sony/ATV will handle Sony Music India’s business overseas and Sony Music India will handle Sony/ATV’s international work across four countries – India, Sri Lanka, Bangladesh, and Nepal.