Many Londoners know the feeling. You wait an age for a bus, then three come along at once. EMI Group has been waiting some time for that metaphorical bus. And as it so happens, three have come along.
As reported here last week, the London based major’s stock soared after it confirmed “a number” of approaches had been made for its business.
According to a report published in the Financial Times newspaper, private equity firms Fortress and Cerberus have joined the previously-named One Equity in the list of interested parties.
Apparently, all three firms have issued letters expressing their interest, and each will make presentations to the EMI board in the coming days.
Stock in EMI rose slightly to about 250 pence in morning trading today on the London Stock Exchange.
The FT also reported that EMI had given the three parties until May 23 to make fully financed, formal offers. May 23 is also the day EMI publishes its financial year results.
AN EMI spokeswoman declined to comment.
EMI observers will note the lull in interest from Warner Music Group, which had earlier put forward an offer which valued EMI at roughly £2.1 billion ($4.1 billion). EMI rejected the deal in early March, after its board decided the terms were “inadequate.”
EMI and WMG have been in and out of merger dalliances since 2000. Last year, the company issued a string of tit-for-tat buyout offers, which ultimately dissolved when the European Court of First Instance annulled the European Commission’s decision to clear the Sony BMG merger.