According to the Los Angeles Times, the $4 billion has fueled speculation that Middelhoff would once again attempt to buy British music giant EMI, whose stock has taken a bit of a beating recently (hitsdailydouble.com, 9/26). Exactly how the company would weasel its way around regulators—certainly we’re not the only ones who recall the scrapped BMG-EMI merger attempt earlier this year—remains to be seen.
Middelhoff disclosed the $4 billion war chest and the intention to look for potential acquisitions shortly after announcing that Bertie’s 2000 earnings fell 3.3%, while earnings rose 79% (primarily from the sale of its stake in AOL Europe). Sadly, none of the profit spike was a result of the company’s music division, BMG, which posted a $4.5 million EBITDA loss and a one-time write off of $250 million for restructuring. The restructuring will total 600 jobs worldwide, a good many of them reportedly in the U.S.
Bertelsmann has also spent upwards of $100 million trying to develop former renegade swappery Napster into a viable pay service (hitsdailydouble.com, 9/27).
Despite all this, the company has vowed to stick with its music interests and promised improved margins of 6-8% over the next two or three years. Not that anyone is counting.
THE COUNT: COLDPLAY IS HOT, COUNTRY'S COOKIN' IN THE U.K.
The latest tidbits from the bustling live sector (3/28a)
SONG REVENUE:
A STYLISTIC STEW MC, divas and singer-songwriters rub elbows. (3/28a)
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THE NEW UMG
Gosh, we hope there are more press releases.
TIKTOK BANNED!
Unless the Senate manages to make this whole thing go away, that is.
THE NEW HUGE COUNTRY ACT
No, not that one.
TRUMP'S CAMPAIGN PLAYLIST
Now 100% unlicensed!
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