Sony Buying Majority Of EMI Music Publishing For US$2bn
Sony Corp is signing a deal for the company to buy majority control of EMI Music Publishing from Mubadala Investment Company for US$2bn.
Sony will be gaining 60 per cent equity interest in EMI Music Publishing.
The Japanese company will indirectly own approximately 90 per cent of the equity interest in EMI Music Publishing and it will become a consolidated subsidiary of Sony.
The closing of the transaction is subject to certain closing conditions, including regulatory approvals.
Kenichiro Yoshida, President and CEO, Sony Corporation says, “We are thrilled to bring EMI Music Publishing into the Sony family and maintain our number one position in the music publishing industry. I would also like to convey my gratitude to Mubadala, our equity partner in EMI Music Publishing, for sharing our long-term perspective on the potential success of music publishing and their support as we grew the business.
“The music business has enjoyed a resurgence over the past couple of years, driven largely by the rise of paid subscription-based streaming services. In the entertainment space, we are focusing on building a strong IP portfolio, and I believe this acquisition will be a particularly significant milestone for our long-term growth.”
This move coincides with Yoshida announcing Sony will be moving away from gadgets in its new mid term plan, according to Bloomberg.
The Sony CEO is set to release a three-year plan in the coming days where the company will reportedly discuss its new focus on revenue from gaming subscriptions and entertainment.