Universal Music Group has acquired EMI's recorded music division for $1.9 billion in a deal that will split the world's fourth-largest music company into two holdings owned by separate corporations. As part of the deal, Universal will take on the regulatory risk of the sale, while Citigroup, EMI's corporate parent, will take on pension fund liabilities.
With this sale, Universal – which already controls an extensive catalog of music featuring superstar artists such as Bon Jovi, Lady Gaga, U2, Eminem and Kanye West – will acquire the major works of acts including the Beatles, Pink Floyd, Radiohead, Coldplay and the Beach Boys.
Photos: Random Notes
Citigroup is expected to announce later today that it will sell EMI Music Publishing to an investment group led by Sony for a reported $2.2 billion.
EMI was purchased by Citigroup in February. The financial service conglomerate subsequently wrote down the company's debt by $3.5 billion before putting the label on the market in June.