News

Sony to buy additional 60% stake in EMI Music Publishing


Tags:

Sony has announced that it has agreed a deal with Mubadala Investment Company to acquire the latter’s 60% stake in EMI Music Publishing’s parent company DH Publishing, taking Sony’s share of the publisher to 90%.

The $2.3bn cash deal must be approved by regulators, and would value EMI at $4.75bn. The announcement included financial figures for DH Publishing, sowing that it generated revenues of $615m in 2017 and a net profit of $164m, which means the deal would value EMI at 7.2x its annual revenues and 28.9x its annual profit.

“We are thrilled to bring EMI Music Publishing into the Sony family and maintain our number one position in the music publishing industry,” said Sony president and CEO Kenichiro Yoshida in a statement this morning.

“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.”

According to research firm Ovum, Sony took a 27.3% share of the global publishing market in 2017.

Stuart Dredge

Read More: News
Leave a Reply

(All fields required)